In the last few months, Bitcoin’s performance demonstrated strong momentum that saw it reach a new high of $64,854. Its performance then pulled back down to around $46,000 before recovering to north of $50,000. It is currently trading at  $55,200 and seems to be a ranging market for the past two or three weeks, with the price locked between $51,000 and $59,000.

Bitcoin’s performance in the last 24-hours hit a high of $56,435 and a low of $54,370 indicating that its volatility is cooling down. Its price has also touched the 7-day moving average and the 25-day moving average, further indicating loss of momentum. There have been the occasional spikes in the last few days, with prices surging to $58k or $59k and then retracing.

This week the price seems to have built up support at around $54,000, $54,755, and $55,000 with solid resistance around $57,000, $56,765, and $59,300, indicating that the cryptocurrency’s performance is trading within a narrow range. Its current performance has gotten many people curious as to why it is currently stuck in that range. Others are curious to know what kind of events would get it out of that range.

Its current price performance also indicates that it is locked in a rising wedge shape. Its current performance is the main reason why traders and investors are looking for growth opportunities in altcoins. There has been speculation that the current Bitcoin price will eventually crash but some analysts are convinced that the cryptocurrency still has a lot of room for growth.

Mark Yusko makes a case for a $250k Bitcoin

Mark Yusko, the Chief Investment Officer and founder of Morgan Creek Capital Management recently stated in a CNBC interview that the idea that Bitcoin has already peaked is a misconception. He explained that Bitcoin is a network that is growing exponentially, and it will likely continue to grow because it represents the base layer for the internet of value. Yusko compared Bitcoin to the TCP/IP protocol that is the foundation of the internet.

Yusko also believes that multiple protocols will survive over the long term, such as Ethereum and Litecoin. He does however believe that many other coins will eventually disappear and described them as useless. His expectations for Bitcoin to be worth $250k in the future is pegged on its equivalence to gold.

The Creek Capital founder believes that if the entire monetary value of gold is $4 trillion, Bitcoin will try to match it since it is equivalent to digital gold. In such a scenario, one Bitcoin would be worth around $250,000.

If Bitcoin will gain value, then why is it stuck at its current price range?

Many factors influence Bitcoin’s performance at any given point. Market forces play a significant role. More selling pushes down the price, but more buying pushes up the price. This is usually the case when huge volumes of Bitcoin are acquired, for example when institutional buyers buy millions or billions worth of the cryptocurrency. It explains why the price of Bitcoin went up exponentially when companies like Tesla got involved.

The Bitcoin value held by whale accounts is a good reason why the cryptocurrency does not just drop drastically. There will likely be more participation in the Bitcoin market in the next few years, thus facilitating more adoption of Bitcoin and other cryptocurrencies. Bitcoin will likely continue to gain value as more people and institutions embrace the crypto market. It is in line with Yusko’s statement that blockchain technologies are still in their early stages and will likely continue to grow with the growth of their protocols.

The realization that Blockchain, Ethereum and other blockchain protocols are foundational structures for the future of value on the internet suddenly opens up more possibilities. The current stage of crypto has been likened to the early days of the internet. The next ten or 20 years should thus be quite interesting as far as the integration of blockchain into our societies is concerned. At the same time, one cannot help but wonder how far Bitcoin will go. If history repeats itself, we should be in for a thrilling ride.