Canaccord Genuity analysts are expecting the price of BTC to return to its peak which was recorded towards the end of 2017. In a research note that was sent to the investment bank’s clients on May 9 2019, three analysts, Michael Graham, Mattew Volpe and Alexander Frankiewicz have predicted BTC is likely to revisit its previous highs over the next 24 months.
“Now four months into 2019, we note for the third time the striking similarity in bitcoin’s price action between 2011-2015 and 2015-2019. While this simple pattern recognition has little fundamental basis, we note that bitcoin does operate on a four-year cycle of sorts, as the halving of bitcoin’s mining reward occurs approximately every four years. Bitcoin has started to form the spring 2019 bottom we began mentioning last year, although a close look at the chart suggests the recovery may be slightly ahead of itself. Looking ahead, if bitcoin were to continue following the same trend, the implication is a slow climb back toward its all-time high of ~$20,000, theoretically reaching that level in March 2021.”
In the report, the analysts also said that lately there had been a growing movement within the crypto markets noting that around “7 million bitcoins have been shaken out of ‘Cold’ (not active for at least six months) status and have begun trading hands again.”
However, since even these analysts can’t predict what the future holds, they overlaid two past performances over each other. They noted that after each halving of the block reward the price of BTC rose drastically. The next halving is expected to take place sometime in 2020.
They also pointed out the increasing interest from Wall Street as the catalyst for price growth. Recently we learnt of Fidelity’s intention to start to buy and to sell Bitcoin for institutional investors within the coming weeks.
Do you agree with these Canaccord analysts who predict that the price of BTC could return to $20,000 in the next 24 months? Share your comments in the comment section below.