More pain to come? Check out these recent Bitcoin price predictions

TL;DR

Despite a recent dip below $67,000, industry participants remain optimistic about Bitcoin’s potential resurgence and future gains. The upcoming US CPI data and the FOMC meeting could significantly affect the price of BTC, with analysts expecting a possible move to the upside. The optimistic scenarios

The price of Bitcoin (BTC) surged to nearly $72,000 earlier this month, leading some industry participants to speculate that a new all-time high could be just around the corner. However, instead of a new peak, the asset headed south in recent hours, falling below the $67,000 mark and hurting over-leveraged traders.

BTC Price, Source: CoinGecko

However, many analysts remain optimistic that the negative trend is a temporary event that could soon be replaced by another resurgence. X Mags user stated that BTC has been forming a “descending widening wedge pattern,” which often leads to “an explosive move on the breakout.”

Crypto Rover, an X-user with nearly 800,000 followers, was even more optimistic. He recalled that the US SEC has already approved local BTC and ETH spot ETFs, predicting that “crypto will only go up from here.” The analyst went even further and set the astonishing target of $500,000 for a single BTC in the near future.

Shortly after his bold forecast, Crypto Rover released a chart showing that retail investors have yet to jump on the bandwagon, while FOMO (Fear of Missing Out) is at a relatively low level. According to him, this means that the bull market has not even started.

Earlier this month, market intelligence platform Santiment shared a similar pattern, indicating that euphoria among traders is still far from its peak zones seen in previous bull cycles. In the context of crypto, FOMO refers to the fear of missing out on potential investment gains in a particular digital asset that has performed quite well.

The phenomenon can cause investors to enter the ecosystem emotionally rather than rationally. People can ignore due diligence and vital investment strategies, resulting in impulse purchases at high prices. This, in turn, could lead to crucial losses in the event of a severe market correction.

FOMO levels were notably high in 2021, when BTC jumped to nearly $70,000 for the first time in its history. However, the joy was short-lived, with the entire industry entering a devastating bear market in 2022.

These events can become game changers

Another analyst who delved into the issue is Michael van de Poppe. He noted BTC’s decline after being rejected in the $71,000 area, expecting a further drop towards the $64,000-$65,000 range.

On the other hand, the crypto enthusiast believes that the asset will head north again after the upcoming US CPI and FOMC data meeting.

The U.S. Bureau of Labor Statistics will release the latest consumer price index on June 12, while the Federal Open Market Committee meeting (which decides whether interest rates in the U.S. should ‘increase, decrease or stay at the same level) is scheduled for the same date.

Both of these events have historically led to increased volatility for the leading digital asset and the entire cryptocurrency sector.

Most experts believe interest rates will remain unchanged at their current benchmark of 5.25-5.50%. Prominent names including Mike Novogratz (CEO of Galaxy Digital Holdings) think that BTC will head north once the Fed moves on from its anti-inflationary regime.

This move would make it easier to borrow money, which could translate into increased interest in risk assets like cryptocurrencies.

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