Bitcoin’s price has risen steadily over the week as industry observers weigh in saying that the price will continue to rise over the year.
The chatter among players also picked up this week, and it came from hedge fund managers, venture capitalists and analysts.
Tax season drain
On Thursday came comments from Blockchain Capital’s Spencer Bogart. On CNBC’s Fast Money, the venture capitalist said that tax selling was behind the declines that Bitcoin has experienced this year.
The tax deadline is April 17, and as that day nears, crypto traders tax selling has picked up considerably, according to Bogart. Now that the tax filing deadline is so close, Bogart said selling pressure is starting to ease.
Observers think that while crypto traders were selling in recent weeks to pay their looming tax bills, they’re mostly done now. Many of those who received tax refunds are even spending those funds on cryptos again.
Tom Lee also sees the end of tax season as a clearing the way for Bitcoin’s price to not only rise again, but rise significantly. He said that he felt confident that could reach $25,000 by the end of the year.
200-Day moving average
We told you about how on Thursday, Pantera Capital Management sent a note to its clients about Bitcoin’s bear market. According to Bloomberg, in the note it’s stated that $6,500 was the low of this bear market and Bitcoin will stay above that price for the majority of the next year. In fact, Pantera thinks Bitcoin’s price could go higher than the nearly $20,000 it reached in December.
Here’s an excerpt from the note:
For those who are new to Pantera who might think a fund manager like Pantera would always be saying ‘Today’s a great day to get long. I rarely have such strong conviction on timing. A wall of institutional money will drive the markets much higher.
Key to the reasons Pantera’s bullishness is Bitcoin crossing its 200-day moving average.
Bitcoin’s price was around $7,100 at the beginning of the week. At the time of writing, the price was $8,100.