Bitcoin could ‘drive people nuts’ for months with $53K BTC price ceiling — analyst

Popular analysts warn that Bitcoin (BTC), which can spend up to $53,000 per month, could cause panic.

Scott Melker (known as the Wolf of All Streets) discussed the BTC price outlook via Twitter. He stated that ranging behavior could continue well into 2022.

Bitcoin prices could fall further

BTC/USD has been unable to reclaim $50,000 since last weeks crash. This week, bearish sentiment is being expressed.

Melker joined the ranks of those who steer clear from the high-priced short-term predictions that were once so common.

“My general view. >53K reaffirms bullish view. “Everything in between these numbers is now ranging chop which will drive traders to panic.” If either number is reached, traders will be extreme bullish at 53K or bearish at 42K.

Another post stated that such price action would take place within “a few months”.

“December is prone to range-bound chop. This makes it a great time to take a break from the charts and make some well-thought-out trades. Then, recharge for next year,” filbfilb said.

These comments mirror those of Pentoshi, a popular trader who made waves Dec. 6, while acknowledging that Bitcoin may still plunge to $30,000.

Its not surprising that this could happen for $btc. It is possible. I would be prepared for it https://t.co/Qw4XggiDdV

— Pentoshi (@Pentosh1) December 6, 2021

This would mean that BTC/USD would be back in its 2021 start position, and more than 50% lower than the years highs.

“Trading at a reasonable discount”

The Wall Street Open on Dec. 6 had little impact on Bitcoin. Markets remained relatively steady while stocks saw a slight rise.

Related: BTC sentiment “comparable to funeral” — 5 things you should be watching in Bitcoin this week

While critics attacked Bitcoins inability to store value, supporters looked for clues to determine whether the market was truly valued after the sale.

Analyst Willy Woo found the on-chain data to be the most important.

He said, “Were currently trading with a decent discount,” and highlighted the Bitcoin Supply Shock Valuation. (SSV).

SSV examines the last time that current on-chain demand was equal to current levels. This implying that prices should rise in current circumstances.

This model looks back at previous times when #bitcoin experienced similar on-chain demand. We are currently trading at a reasonable discount. This is a model thats for investors and not traders, who can be easily liquidated before the model becomes reality. pic.twitter.com/w9byxBiX6M
December 6, 2021, Willy Woo (@woonomic).

Woo previously pointed out that the latest dip was accompanied small-scale investors increasing their BTC exposure.

https://cointelegraph.com/news/bitcoin-could-drive-people-nuts-for-months-with-53k-btc-price-ceiling-analyst