- Previously, Goldman Sachs analysts said they expected Gold to outperform Bitcoin in the long haul.
- According to popular veteran trader Peter Brandt, Bitcoin has formed a rare bullish scenario, thus a price target of $25k.
The Bitcoin market has teased $24k severally in the past 24 hours after the weekend’s breakout to trade between $23.5k and $23.9k on Monday. Having gained more than 42 percent in the past few weeks, Goldman Sachs has classified Bitcoin as the best-performing asset year-to-date (YTD). Bitcoin’s performance YTD has outdone several established capital markets including Gold, the S & P 500, and the Nasdaq 100.
Previously, Goldman Sachs analysts said they expected Gold to outperform Bitcoin in the long haul, finding the former less susceptible to tighter financial conditions and calling it “a useful portfolio diversifier.”
₿𝗥𝗘𝗔𝗞𝗜𝗡𝗚: Goldman Sachs reports again this week #bitcoin is the best performing asset in the world, according to latest market data pic.twitter.com/BxipGABsqr
— Documenting ₿itcoin 📄 (@DocumentingBTC) January 27, 2023
However, Goldman Sachs noted Bitcoin recorded a total return YTD of 39 points compared to Gold’s only six. The communication services and the NASDAQ 100 were among the top five on Goldman Sachs’ list of assets performance YTD.
The Bitcoin market has risen to pre-FTX levels fueled by the whale and FOMO traders. With analysts citing a high correlation between the 2022 bear market with the previous ones, Bitcoin price could continue to outperform other traditional assets in returns.
Typically, the first quarter has bullish associations and after a long consolidation period that saw shorts accumulating, the market has risen, partially fueled by the short squeeze,
Joe DiPasquale, the chief executive of crypto hedge fund BitBull Capital, said.
However, DiPasquale has warned the market is “overheated” and could be due for a correction. “We wouldn’t be surprised to see bitcoin testing $20,000 in the coming days. For the week ahead, market participants should be mindful of downside risks and potentially seek to take profits,” he added.
Can Bitcoin Price Hit $25k?
Bitcoin price has rallied from trading around $15.5k to almost $24 in the past few weeks. The possibility of hitting $25k, less than $2,000 away from current prices, cannot be ruled out whatsoever. Furthermore, the digital asset has not invalidated the rising trend on both the daily and weekly time frame.
According to popular veteran trader Peter Brandt, Bitcoin has formed a rare bullish scenario, thus a price target of $25k.
The bottom in $BTC is a double walled fulcrum pattern. Extremely rare. The 2X target is mid 25's. pic.twitter.com/NfffzbniO5
— Peter Brandt (@PeterLBrandt) January 29, 2023
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Previously, Brandt had argued that the Bitcoin ecosystem has entered a possible multi-quarter consolidation similar to prior bear markets. Nonetheless, the underlying fundamental factors have significantly changed with more long-term holders (Diamond hands) onboard.
With the risk of a possible global market recession to rising inflation, the Bitcoin market is expected to attract more cash inflows as big money flees imminent interest rate hikes.
