Bitcoin has shattered the $17,200 mark for the first time in nearly three years.
The leading cryptocurrency is up 5.18% in the last 24 hours at $17,253, according to CoinMarketCap. The last time BTC was at this price was in January of 2018.
Crypto analyst Nicholas Merten says he thinks BTC will need a correction before it can reach previous all-time highs at $20,000.
“I want to be rational with you all. We’ve been having phenomenal price action in the market. There’s something very important to keep in mind here that I think is critical in understanding where we’re at right now. We’ve really had three mini cycles as we’ve been recovering from the March lows of 2020. And we can see that both times previously they ranged around 30 days… We’re coming up here on 32 days, so about the same time preference around the first mini-cycle here.
It’s looking like we might be getting a bit of a cooldown here. I want to keep things as conservative as possible. Many people are holding here. But my key point here is, as we’ve already gone up 52%, maybe 53%, I’m really thinking we may get a bit of a cooldown here, not testing all the way up to $20,000 just yet.”
Merten says he thinks BTC is gearing up to reach a new all-time high in the first quarter of next year.
“This is it guys. We’re getting to the moment here where over the next few weeks, over the next few months, we’ve had a quarterly target of Q1 of 2021 that we’re going to be revisiting back to these all-time highs…
The room’s a bit more quiet than it was last time when we were at this price range. I remember vehemently back here in December of 2017 almost three years ago. It’s crazy to think it’s been almost three years when we were back at this price range.”