Very few investment communities are as confident about their long-term prospects as the backers of bitcoin, according to a recent survey conducted by LendEDU. Whether buying the dip, holding for long-term gains or cost-averaging each month, bitcoin investors believe the bull market has only just begun.
Americans Excited About Bitcoin
Americans are highly bullish on bitcoin, according to LendEDU’s most recent survey of 564 respondents. The survey results indicated that most holders of the cryptocurrency have no plans to exit their positions anytime soon.
When asked, “At what price per bitcoin would you be willing to sell all of your bitcoin investment?”, the average response was tallied at $196,165.79.
You read that correctly. Americans are prepared to ride out the bitcoin rally until prices reach $200,000.
At the time the survey was taken, bitcoin was valued at around $6,500, LendEDU said. That means prices would need to rise more than 2,900% for the average respondent to consider unloading their digital assets.
The survey also found that the average bitcoin investment account held a little less than $3,000, with more than 60% of respondents having had exposure to the cryptcurrency for more than one year. Only about a third (32.62%) of poll-takers said they have sold some or all of their bitcoin investment since the began the venture.
Twenty-one percent of respondents said they’ve invested in bitcoin because it is “a long term store of value, like gold or silver.”
Bitcoin’s Future Valuation
Forecasting bitcoin’s long-term price trajectory is no simple task, but that hasn’t stopped industry proponents from giving lofty valuations about where the digital currency is headed. Last month, serial strategist Tommy Lee said $25,000 was too conservative of a price point for bitcoin.
John McAfee, who plans to launch his own cryptocurrency, believes bitcoin is already headed to $500,000. He believes it will get there in three years.
In an amusing Twitter post, McAfee added the following:
“I have a doctorate in point-set-topology. It predicts BC at $2,431,031 in 3 years. other math systems – between $1,900,000 and $2,600,000.”
Bitcoin’s investment appeal stems from its function as a store of wealth and utility as a censorship-resistant global transfer system. Price independence is also one of bitcoin’s astonishing features.
BTC/USD Price Levels
The bull rally in bitcoin intensified on Thursday, as prices exceeded $8,000 for the first time on record. BTC/USD reached a session high of $8,011.19. It would later pare gains to consolidate at around $7,865.
With the gain, bitcoin has added $1,300 over the past five days, more than offsetting last week’s slump. Bitcoin has now returned 1,000% over a 52-week period.
At present values, bitcoin is capitalized at $131.2 billion, dwarfing second-place Ethereum, which holds $31.7 billion of the market cap.
Bitcoin Cash (BCH), which forked from the original blockchain Aug. 1, was trading at $1,000 early Friday. The bitcoin alternative surged past $2,400 last week en route to record highs.
The total value of all coins in circulation reached an all-time high of $228.8 billion on Thursday. The market was last seen hovering at $226 billion.
Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.
The cryptocurrency segment continued its bullish run, as the total value of the coins climbed above $230 billion for the first time ever, while Bitcoin also posted marginal new highs. The most valuable currency is still overbought regarding the long-term picture, and we continue to expect a deeper correction in the coming period, despite the recent strong rally. Support levels are still found $7700, $7000, and $6700 while the $8000 level is ahead as a major obstacle.
BTC/USD, 4-Hour Chart Analysis
Litecoin has been the most active major besides Bitcoin, as it rallied strongly after breaking out above the key $64 resistance and it breached the next target at $75 before heading below $70 again. The coin remains in bullish long- and short-term patterns, and we expect a move above the major resistance zone ahead with the next target found at $82.50.
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Litecoin/USD, 4-Hour Chart Analysis
NEO is showing strength in the second half of the session, while Monero is recovering well from a short-term dip, similarly to IOTA and Ethereum Classic. Ethereum continues to represent stability in the segment, while Ripple failed to build up momentum so far after yesterdays spike higher. With still most of the altcoins being in bullish setups, let’s see the short-term charts.
ETH/USD, 4-Hour Chart Analysis
Ethereum is edging higher today and the coin is back above $330 in the choppy environment, but a move north of the $350 level is still what bulls are hoping for. The long-term rising trend is clearly intact despite the recent test of the dominant trendline, with neutral momentum reading across the board. Support levels are still found at $315, $300, and near $285.
DASH/USD, 4-Hour Chart Analysis
Dash is still trading in a very narrow consolidation pattern after its recent break-out, holding up slightly above the previous all-time high. As the short-term momentum is getting close to neutral territory, we expect another leg higher soon. Support levels are still found at $360 and $330, while major resistance is ahead at $500.
XRP/USD, 4-Hour Chart Analysis
Ripple has corrected back to the $0.2250 support levels after the brief spike higher yesterday, and although the short-term buy signal is still intact, the lack of follow-through is worrying. Support is found near $0.21, just below $0.20, and at $18, while resistance is ahead at $0.26 and near $0.30. with the long-term picture still being encouraging.
ETC/USD, 4-Hour Chart Analysis
Ethereum Classic spiked below the rising short-term trendline, just to recover above it instantly, as buyers stepped in near the $16 level. The coin is still in a short-term consolidation pattern but a move above $18 would trigger a renewed buy signal, with the long-term momentum still not being severely overbought.
XMR/USD, 4-Hour Chart Analysis
Monero got close to the rising trendline today in early trading but it rallied back to the $125 level later on, while remaining inside the short-term correction pattern. With the MACD indicator in neutral territory, another move towards the $150 and the all-time high is likely in the coming period, with strong support found at $100.
NEO/USDT, 4-Hour Chart Analysis
NEO is attempting another break-out from its long-standing trading range, and a move above $34, towards the $40 resistance is more and more likely. The coin is now on a short-term buy signal while being bullish regarding the long-term picture as well. Support levels are now found at $30, $27, and $25.
IOTA/USD, 4-Hour Chart Analysis
IOTA is trading in a volatile short-term correction, as it got overbought following its stellar rally. The coin retested the $0.75 level but it rebounded strongly, leaving the 4-hour MACD in dangerous territory. We advise traders to wait for a correction before entering new positions here, while from an investment standpoint the coin is still not extremely overbought. Key support levels are found at $0.75 and $0.64, while the previous high is ahead as a long-term target at $1.1.
Featured image from Shutterstock
Disclaimer: The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.