Things appear to be going from bad to worse for Bitcoin (BTC-USD). Days after BTC fell below the key support level of $25,000, the largest digital coin is now inching closer to $20,000, spooking investors and accelerating the selloff in the entire cryptocurrency sector. Investors can expect analysts to revise their Bitcoin price predictions in response, but for now, their forecasts are varied.
Currently, Bitcoin is trading at $21,200, down nearly 30% from the $30,000 level it was at a week ago. The price of Bitcoin has now fallen 70% from the all-time high of $68,000 it reached last November.
The drop in BTC and other digital assets comes amid a flurry of bad news for the cryptocurrency sector. Crypto lender Celsius, which earlier this week halted all withdrawals from its accounts due to market volatility, has now frozen its decentralized finance (DeFi) programs.
At the same time, Coinbase (NASDAQ:COIN), the largest cryptocurrency exchange, announced it is laying off 18% of its workforce due to deteriorating market conditions. Several other crypto businesses have announced staff cuts recently, including fellow exchange Gemini Trust and lender BlockFi. Both companies cited a “crypto winter” as the reason for lowering their headcounts.
So can Bitcoin recover, or will it fall below $20,000 in coming days, exacerbating its decline in the process? Here are current price predictions for BTC from leading analysts and market observers.
Bitcoin Price Predictions
- The Gov Capital investing blog shows analysts remain bullish on BTC’s outlook. The average forecast puts the price of Bitcoin at $52,932 within a year and at nearly $240,000 within five years.
- Wallet Investor forecasts BTC will be at $43,684.40 per coin in a year and sitting at $114,682 in five years.
- Digital Coin Price sees BTC trading at an average price of $31,559.36 in 2023, but rising to an average of $69,983.33 by 2028.
What’s Next for BTC
The price predictions for Bitcoin are all over the place right now, with many analysts in the process of revising their forecasts as the crypto market corrects. However, the consensus view is that BTC will be higher both a year from now and five years in the future. The only question seems to be how much higher.
In the meantime, Bitcoin and other cryptocurrencies continue to see their prices collapse in the near-term as securities fall into a bear market.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.