Analysis from Stifel says that the price of Bitcoin will be US $ 10 thousand in 2023. Meanwhile, the chart "Bitcoin Cycle Repeat" projects the price of the cryptocurrency to be US $ 15 thousand in November 2022.
Stel marketing strategist Barry Bannister projects that Bitcoin may correct to a low of US$10,000 in 2023, formed by three fundamental macro factors,
Regarding Bitcoin price predictions, Bannister stated that crypto prices will be negatively affected by the plan of tightening and reducing the balance sheet alias tapering by the US Central Bank (The Fed). Tapering in principle is to reduce the supply of dollars in the market, in order to suppress the severe inflation rate in Uncle Sam's country. This is also what makes the dollar's value shine brighter than before, in the short term.
he identifies the global US dollar-specific money supply as the first macro-important one to look at. He cites that since the S&P 500 and Bitcoin price are dollar worth, any factor in the macro market will affect the BTC price.
He now reiterates that the positive correlation between capital markets and crypto markets is getting higher and peaked last year, based on data from the IMF and Bloomberg. This is because capital flows, such as from venture companies and public companies, enter the crypto market, through various projects.
Not to mention the Bitcoin Futures ETF which has entered the Nasdaq capital market and the New York Stock Exchange since 2020.
Bannister stated that if the size of the M2 money supply slowed, it would likely result in a tightening of the US financial status. Bannister believes that speculative assets like Bitcoin will enter in such a vortex. Specifically, M2 is a measure of money supply that includes cash, deposits, and easily convertible money.
Elsewhere, he discussed the impact of the 10-year US Treasury bond yields that could lead to further tightening of US Federal Reserve spending. According to Bannister, the tightening is likely to result in a spike in bond yields, which will eventually halt Bitcoin's growth, as capital shifts to more attractive bonds.
“In 2022, we see Bitcoin perform in a broad trading range constrained by year-to-day intra-day levels with greater downside risk in 2023. If a rising TIPS 10T yield pulls gold lower, it is also pressuring Bitcoins. If Bitcoin divided by gold drops to a low (Fed tightens), Bitcoin could drop to $10,000 by 2023," Bannister said.