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Bitcoin may see a “decisive price move” in the near term, and while short-term volatility may continue, the long-term view “remains positive,” say analysts.
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Bitcoin could be headed for a “decisive price move” in the coming weeks as the US decides on its next Bitcoin move, amid other macroeconomic developments.
Some analysts anticipate that direction is likely upward, as Bitcoin (BTC) has yet to fully price in the US government’s pro-crypto stance.
Clearer signals on Bitcoin’s price in the coming weeks
Bitfinex analysts said in a recent markets report that Bitcoin could shift “especially as more macroeconomic developments unfold.”
They pointed out that Bitcoin has been trading within a 15% price range since mid-November when it hovered around $90,000. Historically, 15-20% consolidated price ranges tend to “resolve in either direction within 80 – 90 days.”
They said that despite Bitcoin’s “high correlation” with macro conditions, its recent ability to hold above its pre-US election price of around $70,000 — despite turbulence in the crypto market triggered by US President Donald Trump imposing tariffs on Canada, Mexico and China — demonstrates the asset’s relative strength.
Trump’s tariff news led to the “largest liquidation event in crypto history” on Feb. 3, with over $2.24 billion liquidated from the crypto markets within 24 hours.
Bitcoin is trading at $97,370 at the time of publication. Source: CoinMarketCap
Bitcoin’s price slipped below the psychological $100,000 level, dropping to $92,584 before rebounding to $97,370 at the time of publication. However, analysts aren’t ruling out the possibility of another near-term scare event shaking Bitcoin’s price.
“While Bitcoinʼs short-term volatility may continue in response to macroeconomic influences, its long-term outlook remains positive,” they said.
Other analysts say once the US government confirms its highly anticipated Bitcoin plans, BTC could potentially clock a significant surge.
Crypto analyst Thomas Fahrer said in a Feb. 5 X post, “The day the US government announces they are buying Bitcoin, the price will go up $50,000 in a single 1-minute candle.”
Expressing similar sentiment, MN Capital founder Michaël van de Poppe said in an X post on the same day, “If there’s a case where the US government understands that it needs to become positive about the adoption of crypto, it’s now.”
“Bitcoin is still neutrally valued, where the altcoins are criminally undervalued. The entire sector is criminally undervalued,” van de Poppe said.
Related: Bitcoin sell pressure could ramp up after 49.7K BTC onchain move
“The adoption is bigger than ever,” he said.
“That’s quite often not a period where you’d be saying: I’m going to log out, and I expect this market to be peaked. Far from it,” he added.
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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
This article first appeared at Cointelegraph.com News
