Bitcoin has increased to the level of Rp. 800 million after rising from a downturn of Rp. 720 million. Will the bullish trend still occur in 2021?
Bitcoin experienced a downtrend in week 3 of April 2021. After dropping to Rp. 720 million for 6 days from its highest price of Rp. 950 million, Bitcoin looks like it has risen. This condition is usually called support.
Then, will this price increase trend continue? Is Bitcoin going to have a bullish year as originally predicted? Will Bitcoin be able to re-penetrate its highest price of Rp 950 million?
News of the Decline in Bitcoin
One of the reasons for the decline in Bitcoin, possibly, is the policy of the United States government. This is related to the tax policy of the country. Because the US is a “super power” country this has an impact on other countries and even the entire country.
The news can also encourage investors to sell off on a large scale. Perhaps, this also caused Bitcoin’s decline to deepen. However, many still believe, even though Bitcoin volume has reached its lowest level during the year. Not a few also said that this decline was an ordinary decline. The proof is, on Wednesday (April 28th, 2021), Bitcoin has returned to the level of Rp. 800 million.
Altcoins Have Fall, But They Have Rise Before Bitcoin
Bitcoin’s decline last week also sent altcoin prices down. This is normal and happens often. Because usually when Bitcoin goes down deep enough, altcoins also follow. For example, such as BNB, XRP and others.
However, if Bitcoin drops for 6 days, the altcoins will only be around 3 days. It can be seen that Uniswap, for example, has risen after 3 days. Likewise Theta and Tfuel. In fact, there are several crypto assets that were not affected by the decline in Bitcoin. For example Ethereum. This crypto only dropped to the level of IDR 33-35 million. It even touched Rp. 39.5 million twice (all time high / ATH).
Because altcoins were actually created to complement Bitcoin, it looks like we can do this when trading. When Bitcoin goes down, there are still altcoins like ETH that we can expect the increase to. Then, why did Bitcoin rise again to the Rp. 800 million level after it collapsed? Initially, there was news that Elon Musk had sold Bitcoin from the assets of Tesla, his company. However, he denied this through his official Twitter account.
According to him, he has no desire to sell the Bitcoin assets he owns. This action made people buy Bitcoin again so that the price went back up to the level of Rp. 800 million. Indeed, one of the factors for the increase in the price of Bitcoin is demand. The higher the demand, the higher the price.
Bitcoin Might be Bullish
Will Bitcoin continue to be in a bullish trend this year?
This could happen. Because from preliminary predictions and analysis, as stated by JP Morgan, Bitcoin could touch IDR 1.3 billion or more. Due to the high demand for Bitcoin.
In addition, the supply limitation factor or commonly known as Halving Day in 2020 was only felt this year. Where this happened 4 years earlier, namely 2016 and 2012. Bitcoin only rose one year after that.
So, it’s likely Bitcoin will increase, and the occasional decline like this is only natural.
When is the Right Time to Buy Bitcoin?
This kind of support position is widely used by traders and investors. Due to this position, the price of Bitcoin is still cheap and an upward trend in its price is visible. So, you can buy Bitcoin now, while the price is still cheap and you have seen an increase. After that, you can sell it when the price is high.