In this week’s final Bitcoin lunch, we of course serve up the live Bitcoin price and the prices of the top 25 crypto again. Then we take a look at a great investment in eco-friendly Bitcoin mining. Then we analyze the key quotes for the weekend. We conclude with the Bitcoin price forecast for the coming week and long term.
We begin, of course, with the live Bitcoin price and the prices of the top 25 crypto.
Live Bitcoin price flat, prices most top 25 crypto drop
At the time of writing, the live Bitcoin price is quoting EUR 28,085.13 ($29,915.27). This is 0.28% lower than during our Bitcoin lunch yesterday.
The prices of most of the top 25 crypto are also negative. There are a few exceptions. The biggest gain of the day so far is for Stellar (XLM) at +2.28%. The biggest loss so far is for Solana (SOL) at -3.77%. On the website of Tradeincrypto.com you can analyze all live crypto prices 24 hours a day and thus also throughout the weekend.
Green Bitcoin miner builds data centers for $500 million
One of the biggest objections to crypto in general and Bitcoin in particular is the impact mining would have on the environment. Mining company Bitzero is responding to this and wants to mine BTC in a climate-neutral way. They also want to recycle the heat generated to heat greenhouses. The green mineral, which is financially supported by ‘shark’ Kevin O’Leary, among others, has signed an agreement with North Dakota to this end.
This development is obviously important for the local economy and America’s Bitcoin-friendly reputation. In addition, Bitzero may also have an impact on the crypto market. Indeed, Elon Musk has previously stated that he would like to reauthorize Bitcoin as a means of payment for Tesla once at least 50% of the mining is environmentally friendly. This goal is one step closer with this green BTC miner.
Here are the Bitcoin price forecasts for the weekend and the coming week
As we saw, the price of Bitcoin is still volatile. The correlation with (tech) stocks also declined in the past week, but this is because Bitcoin is underperforming these stocks.
The market is also spooked by measures announced by companies against the recession. After we saw earlier this week that the market reacted badly to JP Morgan’s announcement of a “price hurricane” and we shared yesterday that crypto exchange Gemini was laying off 10%% of its staff there was a similar announcement from Tesla this morning. Elon Musk is also preparing for an economic downturn and plans to lay off 10% of his employees.
Based on technical analysis we see support levels at $30,000 (and that is where the price is playing right now). If this bearish is broken the next support levels are at $28,000.00 and $26,000.00. If the BTC price manages to lift itself above the first support level again there are further resistance levels at $31,400.-, $32,400.- and $32,700.-.
With that, bearish weekend seems to be on the way. This is because the market is dealing with bad news and is not currently strong enough to push through. We saw this earlier this week when the BTC price could not break through the resistance at $32,000.
What CME hole will Bitcoin fill next week?
One of the metrics to estimate the Bitcoin price is to track the CME gaps. Indeed, as our colleagues at Tradeincrypto.com explained, there is a correlation between CME gaps and the BTC price.
If there is a large bearish correction this weekend, there is the possibility that prices will recover early next week to close this gap. Also, in a bullish scenario there is the possibility that the CME gap will close between $34,445 and $35,180. With that, however, we should not cheer too soon because the outlook for the coming week is strongly bearish, as you can see in the video analysis below.
The various scenarios indicate that the Bitcoin price will eventually crash to around or below $20,000.00 although this does not appear to be happening yet next week.
Theoretically, of course, there is a chance for a bullish reversal. However, when we see that this requires a daily chart above $53,000 and a higher low around $26,700, we see that we are too far away from either price to take this into account in practice.
BTC long-term price target $ 144,000.00?
Director Jurrien Timmer of investor Fidelity has developed his own model based on the S2F model of Dutch crypto analyst PlanB. In this model he plots the growth curve of Bitcoin not only against supply, but also against the growth curve of the cell phone industry. With a backtest, he claims that this model is more accurate than the original model.
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The close-up below shows that this more modest supply model has been (in hindsight) more accurate than the original S2F’s projections for this halving cycle. /15 pic.twitter.com/65WgS4Hody
– Jurrien Timmer (@TimmerFidelity) June 2, 2022
He also ventures a long-term prediction based on his model.
He foresees that the BTC price should record a price target of $144,000 at the next halfway point, after which the price could continue to grow to $577,923 at the halfway point thereafter.
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Assuming the mobile phone curve is a more viable analog, its curve suggests a strongly growing network for Bitcoin in the years ahead, but the more asymptotic internet curve raises the possibility that perhaps Bitcoin’s growth curve is more mature than my models have assumed /19 pic.twitter.com/VhdZUDRZbq
– Jurrien Timmer (@TimmerFidelity) June 2, 2022
PlanB has not yet responded to the new model despite Timmer’s invitation. We do see that he retweeted Timmer’s explanation. We are very curious to see if PlanB is going to respond substantively.
Want to stay up to date with the latest stock price developments?
You can always follow the developments yourself with our WANT crypto analyses or the background articles and previews on the crypto market and Bitcoin. Of course, you can also follow the live quotes 24 hours a day if you want to stay informed in real time. Are you interested in other investments besides crypto? Then our weekly Monday morning price forecast might be a reading tip. “Please note: We never give financial advice, so our contributions can’t be interpreted that way either. Always do your own research and decide on rational grounds if, when, what and how much you want to invest in.”