Are you looking to invest in Bitcoin in the coming months? You need to do a detailed analysis in order to have an idea of how the asset will perform in the near future. This Bitcoin price prediction and analysis for March 2021 will provide useful information and important details that will help you with your investment decision.
Bitcoin (BTC) Overview
Bitcoin is the biggest and most popular cryptocurrency, as well as the first to be created. It has grown fast to become one of the most sought-after assets in the world, both for individuals and corporate investors. Although it was created primarily as electronic cash, Bitcoin is now used as a store of value, which is even more suitable because of its high transaction fees compared to other cryptocurrencies. This is why it is referred to as digital gold and a hedge against inflation.
In 2020 and 2021, Bitcoin has gained more acceptance than at any other time during its existence. Corporate investors, in particular, have developed a strong affinity for the asset, which was criticized by most of them as worthless. As a result, the asset has grown to reach a current market cap of $919,250,509,195. Created with a capped supply of 21 million coins, there are currently 18,630,306 BTC in circulation, with a 24h trading volume of $80,181,107,926.
Bitcoin (BTC) Price Prediction: Analysis
Bitcoin has been in a bullish trend in the recent past, and this trend seems to be intact even now. After breaking the 2017 all-time high, it has reached several new highs in 2020 and 2021. It reached the milestone price of $30,000 in January 2021 and has been pushing through up to nearly $42,000 before the first major pullback, which took it back to $30,000.
After ranging between $30,000 and $35,000 for weeks, it finally broke out and started its journey back up. Incidentally, this coincided with the time when Tesla invested $1.5 billion in the asset. After that, it didn’t only find its way to $40,000, but also went all the way up to the current $49,000.
The price is still ranging between $49,000 and $48,000 and could be consolidating. No clear pattern has been formed yet, but a likely upward break could be underway, considering the strong upward trend. However, if this fails, support has been established at $45,540 from which the price could bounce off should it break downward.
The RSI is currently at 72, which ideally would suggest that Bitcoin is overbought, and sellers could soon step in to take the price down. However, the RSI has exceeded 90 in January before a drop, which means there may still be room for the asset to go higher before holders start to sell.
For those trading BTC, the following are critical support and resistance levels to keep in mind as calculated by Walletinvestor:
- Resistance Level (R3): 51537.33;
- Resistance Level (R2): 50200.07;
- Resistance Level (R1): 49094.73;
- Pivot Point: 47757.47;
- Support Level (S1): 46652.13;
- Support Level (S2): 45314.87;
- Support Level (S3): 44209.53.
More mainstream institutions are showing interest in Bitcoin following Tesla’s $1.5 billion investment. The latest of this is Morgan Stanley’s $150 billion investment arm, which has indicated interest to invest in the asset. This is coming after the oldest American custody bank NY Mellon said it will soon offer crypto custody services to clients. Meanwhile, a top executive of JP Morgan has expressed confidence that the Wall Street giants will soon participate in the industry, as the price of Bitcoin continues to grow with support from new investors.
Bitcoin Price Prediction: Market Opinions
Tradingbeasts doesn’t expect any dramatic change in price in March. The website predicts that Bitcoin will be worth $38,773.083 by the start of March. Their BTC price prediction also states that the maximum price expected for the month is $48,917.864, while the minimum price is $33,264.147. The closing price for the month is $39,134.291.
Provisionibitcoin predicts that Bitcoin will see a massive adoption in the coming months, which will boost its market cap. In March, the rise is expected to be very strong with a resultant rise in price. Therefore, for its Bitcoin price prediction, it expects that the price will hit $71,513.81 within the month.
Longforecast expects the price of BTC to increase by 101% in March. As a result, the price prediction is that it will reach $56,403 at the beginning of the month. The lowest expected price is $51,351, and the closing price is $65,427.
Digitalcoinprice is quite bullish on Bitcoin. The website expects the price to increase by 57.73% in March. This will increase the price to an average of $77,763.62 in March 2021.
Bitcoin Price Prediction: Verdict
This was Bitcoin price prediction and analysis for March 2021. Generally, it seems most of the predictions are bullish, but caution should be exercised when taking decisions on investment
Bitcoin Will Significantly Underperform Altcoin Market As New Crypto Price Era Unfolds: Pantera Capital’s Dan Morehead
The founder and chief executive officer of Pantera Capital says that investors can expect altcoins to outperform Bitcoin (BTC) in the long term.
In a recent edition of Pantera’s Blockchain Letter, the head of the digital asset management firm outlines Dan Morehead’s key quotes from the SALT 2021 conference in New York. During the conference, Morehead said that even though his company has greatly profited from BTC, he emphasized that most future crypto gains will come from altcoin investments.ADVERTISEMENT
“My perspective is: Bitcoin has been amazing – Pantera Bitcoin Fund is up 67,000% since inception. However, I think the majority of future gains will be from tokens outside of Bitcoin. I know that sounds heretical to some people here, but that’s my professional opinion.”
Morehead compares the rise of Bitcoin and its competitors to that of the tech industry boom during the late 1990s.
“It’s like saying in 1998 that [the] majority of future tech gains would come from outside Microsoft.
At the time, Microsoft was worth $218 billion, Apple $3.5 billion, Amazon was $2.2 billion. Google and Facebook were zero – they didn’t even exist. In the years since Microsoft did great – it went up 10x. However, 80% of the tech gains in these five stocks came from outside Microsoft.
That’s the view I have here – I think BTC is going to go up a ton – like 10x. It’s a great investment…[but] I think the broader portfolio is going to outperform.”
At time of writing, BTC has a market cap of $1.156 trillion while all altcoins combined have a market cap of $1.327 trillion, according to CoinMarketCap.
s are now selling ‘way more’ US Dollars to buy Bitcoin
President Nayib Bukele shared this new development on Twitter based on the data acquired from El Salvador’s in-house wallet service, Chivo. President Bukele said:
“People are inserting way more USD (to buy #BTC) than what they are withdrawing from the Chivo ATMs.”
He also urged media outlets to independently confirm the above information by visiting the ATMs. President Bukele further stated that Chivo has reported 24,076 remittance requests “adding up to $3,069,761.05 in one day.”
2 new Chivo Facts:
1. People are inserting way more USD (to buy #BTC) than what they are withdrawing from the Chivo ATMs (any media outlet can independently confirm this by visiting the ATMs).
2. Today, we received 24,076 remittances, adding up to $3,069,761.05 (in one day).— Nayib Bukele 🇸🇻 (@nayibbukele) October 16, 2021
The increase in USD to Bitcoin conversions within the jurisdiction reflects a change in investor sentiment, which initially faced resistance during adoption from the general public. Moreover, the Salvadorean government offers various subsidies for using Bitcoin such as fuel subsidies and tax exemptions.
El Salvador has installed over 200 ATMs after adopting Bitcoin as a legal tender, making it the third-largest network of crypto ATMs after the United States and Canada.
A Cointelegraph report shows that El Salvador exceeded United Kingdom’s crypto ATM count after deploying 205 crypto ATMs, mainly to facilitate local Bitcoin transactions and Bitcoin to U.S. dollars conversions.
Recently, the Salvadorean government announced to build a $4 million veterinary hospital using the profits attained during the Bitcoin bull market. According to President Bukele, the veterinary hospital will host four operating rooms, four emergency clinics, 19 offices, and a rehabilitation area: “We decided to invest a part of that money in this: a veterinary hospital for our furry friends.”
Why Bitcoin ETF Is Such A Big Deal and May Push Bitcoin Above $100k?
Amid a global regulatory crackdown on cryptocurrencies, the U.S. SEC’s approval of a Bitcoin (BTC) Exchange-Traded Fund (ETF) has come as a pleasant surprise to the Bitcoin community. The most awaited ProShares Bitcoin Strategy ETF is reportedly launching as early as Monday, October 18. This ETF is going to be traded with a ticker symbol of BITO and will track Bitcoin futures.
Bitcoin rallies towards $100K
Instead of achieving regulatory green light, Bitcoin price crossed $62K this morning with a slight correction, BTC continued to stand strong at $61.5K, at the time of reporting. The market is raging with speculation of Bitcoin crossing $100K with this ETF. The timing could not have been better as the fourth quarter has commenced the holiday season bull run, with trader bonuses flooding in as cryptocurrencies take to an upward graph. Since the beginning of October, when the potential BTC ETF began gaining mass traction, the impact on Bitcoin prices also became evident.
According to a Bloomberg report, this Bitcoin ETF will further the institutional adoption of the decentralized sphere, specifically focused on Bitcoin. “An ETF should provide greater ease-of-use for retail investors looking to ride Bitcoin’s often hair-raising ups and downs. Like securities tracking oil and gold, it will change hands on relatively familiar U.S. stock-market venues, rather than in cryptocurrency or futures exchanges whose workings are imposing to some users.”
Regulatory approval can make or break a token
The frequently validated fact that regulatory approval radically helps the growth of cryptocurrencies, despite it being a decentralized and unregulated market, continues to gain credibility. XRP is one of the most prominent examples of how drowning in a regulatory puddle may keep certain tokens into a bear rut, while the rest of the industry leaps into the bullish phase. Due to the ongoing XRP lawsuit against Ripple, the XRP community continues to suffer as the fourth quarter has not helped XRP so far. The community blames the SEC for stretching the lawsuit intentionally so that XRP skips this bull run.