What happens if the price of Bitcoin exceeds $ 14,000, as BTC breaks the correlation with the S&P 500

What happens if the price of Bitcoin exceeds $ 14,000, as BTC breaks the correlation with the S&P 500

BTC has recently continued to grow breaking the $ 12,000 resistance level last week after a series of institutional bullish news about it. PayPal also announced that it will allow any operations with crypto.

What happens if BTC breaks 14K

After PayPal’s announcement, Bitcoin was the first to react, as It was already gaining massive bullish momentum. It managed to break the $ 13K mark and is currently trading at $13,074.

Considering the price growth tendency for BTC, many experts suppose the asset will continue increasing, especially in the upcoming years. As far as BTC experienced 14% price boom last week, the correlation of BTC with S&P 500 dropped to 0 level since May. According to Santiment — the company that is engaged in crypto data analytics, this is a good sign for the crypto. BTC price and S&P 500 previously reached the record high correlation in August.

Santiment, the popular crypto trader and analyst Santiment explained that Bitcoin usually showed upward divergence when traditional global markets were also booming. However, keep in mind that the crypto asset is growing despite the stagnation of traditional markets.

According to cryptanalytic company Glassnode, Bitcoin has remained optimistic for quite some time, and as the cryptocurrency has separated from traditional financial markets, BTC may see some significant growth. SIM Peters, an analyst at eToro, previously noted that investors should target the $ 14,000 mark after BTC successfully stays above $12,000.

Crypto analyst Qiao Wang believes that when the coin exceeds $ 14,000, the cryptocurrency market will switch to a “different mode”. Van explained (cautiously):

“Once BTC exceeds $ 14k, we will probably find ourselves in a different mode in terms of volatility, dynamics, retail participation, and so on. Many things that have worked for the past few months may no longer work, and Vice versa. 20 thousand $ will take this mode to a whole new level. This is just my guess. We’ll see.»

The $ 14,000 mark was a crucial level for investors, as it closed the December 2017 candle, as well as the level at which the 2019 boom reached its peak.

The price of Bitcoin in 2025

A recent Bloomberg report estimated that Bitcoin may take five years or more to reach the $ 100,000 price, as the asset has a history of adding zeros to its price. It could reach 100,000 by around 2025, Bloomberg suggested, and its demand indicators also indicate that the price of the Royal coin is approaching 14k resistance. The message appeared on October 6, as previously reported by Blockchain.News, before the price surpassed the crucial $ 12,000 mark.

Wall street veteran Raul Pal added another zero to his estimate, saying the price of Bitcoin could reach $ 1 million. by 2025. Real Vision Group CEO Raul PAL supports the forecast with his model, analyzing the project price based on its past results.

According to the stock and flow estimation model developed by crypto analyst Plan B, the price of BTC is also $ 1 million. Fidelity Digital Assets also tested the model, and even applied for a bitcoin Fund, opening the door for additional institutional investment in the cryptocurrency.

JPMorgan: a greater potential for growth of bitcoin

JPMorgan also recently commented on the Bitcoin rally, noting that bitcoin has a good chance of raising its price as It continues to grow as it competes with gold as an “alternative” currency. JPMorgan emphasized that the introduction of Bitcoin is vital to its price growth and that as Millennials increasingly lean towards cryptocurrency, Bitcoin has longer-term growth potential.

Source: https://news.bit.team/what-happens-if-the-price-of-bitcoin-exceeds-14000-as-btc-breaks-the-correlation-with-the-sp-500/

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