Bitcoin price falls before takeoff? The experts forecast was revised to 50,000

Mondo Finance Updated on 2024-03-02

Story Highlights: Bitcoin surged 45% in February, triggering a bull run.

Analyst Michael Novogratz expects **to emerge** due to the high leverage of young investors.

Despite the possible correction, Bitcoin has hit new all-time highs against multiple currencies, indicating that Bitcoin continues to grow.

Bitcoin had a strong February with a 45% surge, its biggest gain since December 2020. The spike now marks the sixth month in a row**, and experts are buzzing with potential crypto bull runs. However, not everyone agrees with this bullish sentiment, and some analysts **see a short-term correction before a big deal.

Let's dive into what experts have to say about Bitcoin's near future.

Michael Novogratz, founder of Galaxy Digital, gave his opinion in a recent interview with Bloomberg TV. Novogratz said Bitcoin could fall back to around $55,000 before hitting a new high. His reasoning revolves around the issue of retail traders over-leveraging ahead of the expected **.

On the other hand, he said he expects the Ethereum spot ETF to be approved by the SEC later this year.

Novogratz believes that Bitcoin is in a broader consolidation phase after a significant 40% this year. This spike was largely driven by the successful launch of Bitcoin Exchange Trading** (ETF). Despite Bitcoin trading** around $60,700, Novogratz described the market momentum as a "discovery" phase that attracted a new wave of investors.

However, he warned of high levels of leverage for millennial and Gen Z investors, suggesting that a correction could occur. The observed leverage gap between institutional participants and traders is indicative of a potential market correction and "washout" before the uptrend resumes.

In a nutshell, discovery is the process by which buyers and sellers calculate the value of an asset. Analysts say Bitcoin is currently in the initial discovery phase due to increased investment opportunities available to U.S. investors through ETFs.

Despite the short-term** rumors, Bitcoin is making waves around the globe, hitting all-time highs against multiple currencies this week. The exchange rate surged 16% against the yen from its previous peak, and also hit record highs against the yuan, the Russian ruble, the Swedish krona and the New Zealand dollar.

With Bitcoin rapidly approaching its previous highs in major currencies such as the Euro, British Pound, Canadian Dollar and Australian Dollar, there are more all-time highs to come for experts in the coming months. This recovery comes on the heels of a strong U.S. dollar index, which measures the greenback's strength against other currencies in recent months**.

Get ready for an exciting journey where Bitcoin will lead the way.

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