Bitcoin is Still Going Strong Despite Predictions of Incoming Crash

Earlier this year, Tesla CEO Elon Musk tweeted about Bitcoin. Following that, Tesla also moved a portion of its reserve cash into the cryptocurrency. 

Both of these actions caused an artificial inflation in the price of Bitcoin, and inflation that many had predicted would already have popped by now. 

Many of the leading Bitcoin experts had estimated that Bitcoin would be soon dropping down to around $29,000, but as of March, it’s still going extremely strong. 

Since the initial spike in Bitcoin’s value, it has been maintaining a remarkably stable range of value, currently sitting around $50,000. 

It’s impossible to say if this stability is just the calm before the storm or whether a new bottom support level for the coin has finally been set. 

Is it Only a Matter of Time for Bitcoin?

Bitcoin is in limbo right now. There are many that believe it’s only a matter of time before a crash occurs, but there are also those that believe that $50,000 is here to stay. 

On the one hand, economists are arguing that historically, Bitcoin has always had high-swings and low swings like it’s experiencing now. They believe that Bitcoin is going to follow in its past’s footsteps and crash back down at some point before beginning the cycle again. 

On the other hand, there are those who argue that Bitcoin is setting a new standard for global currency transfer. Before 2021, Bitcoin suffered volatility thanks to a lack of clarity on how it was going to be used in the mainstream light. 

However, with the EU and the SEC moving to introduce regulations on Bitcoin, they argue that the cycle of pumps and dumps is over and that the $45,000 – $50,000 range is a new standard for Bitcoin. 

Should You Invest in Bitcoin Now?

Investing in Bitcoin is always going to be little better than a coin flip, no matter how well informed you are. 

However, at the moment, the market is truly standing on the precipice of the unknown. If you were to invest in Bitcoin right now, you would do well to head the age-old trading adage of only investing what you can afford to lose. 

While there are plenty of factors working in favor of Bitcoin, there’s always the possibility that it crashes overnight. The smallest thing can set it off, so take that into consideration before you put any money into the resource. 

What Does This Mean for the Crypto Market?

The current stability and bull-run of Bitcoin have brought about green numbers across the board for the crypto market. 

Altcoins tend to follow the trends that Bitcoin undergoes in the first place, but this recent influence has been far greater than expected. 

Despite only holding a solid value rather than gaining anything, Bitcoin has pushed various other cryptocurrencies up. 

Some coins are seeing gains as small as 5%, whereas others are shooting upwards towards 13%. 

It’s impossible to say what this means for crypto as a whole, considering Bitcoin’s current situation. If the coin manages to hold onto its new value, it’s possible that the value of all other affected altcoins is also going to establish new support levels. 

However, this is unprecedented in the world of Bitcoin trading. Even experts that have been in the industry since before 2017 are stumped as to what is going to happen next, so it’s very much nothing more than a wait-and-see type of scenario.