On the morning of Christmas Day, Bitcoin was trading for around $23,500. In the ensuing 24 hours after, Bitcoin price has broken barriers at the $24k, $25k, $26k, and even this morning, the coin has been close to breaking the $27k ceiling.
This rapid growth in price between Christmas Day and now translates to roughly a 13% increase. Different crypto analysts have given their opinions on what this means to the industry. One of such analysts is Timothy Peterson, a popular Twitter Bitcoin analyst, who using his Metcalfe Model, has predicted that the $30k zone would be a red alert zone for the leading crypto asset.
According to Peterson, if Bitcoin price should break this threshold, it is going to make the digital asset susceptible to a large crash which would be similar to those that happened in 2012, 2014 and 2018. He added that his warning is not meant to push his followers to sell, rather it is just to inform them that the risk becomes higher in that threshold.
A red alert zone can be referred to as a threshold where there is a higher level of risk or impending crash.
Bitcoin price is eyeing $28k
With the weekly close, monthly close and yearly close in sight, Bitcoin price remains bullish and appears that it would sustain its current price above the $27k mark.
If the coin closes the day beyond that price level, it would be the highest in the history of the asset. And if a similar occurrence should occur with the monthly and yearly close, then BTC would be closing on the highest it has ever been at the close of a year.
However, as it stands presently, BTC’s present price is less than $500 away from reaching the $28k mark which is the next level the coin can conquer. It is important to note that Bitcoin undergoing all of this price rise may lead to a heavy correction in the future.