Bull Scenarios, Fear and Greed. Bitcoin Price Analysis

Crypto markets started 2023 with a bullish start and the crypto markets still seem determined to continue the bullish trend. In 2022, when fear and panic prevailed, Bitcoin (BTC) had regressed to $15,476, but as of 2023, Bitcoin managed to break all the fear and panic situation. At the moment, the bull market conditions have not yet occurred, but the bull rhetoric of the investors has once again dominated the market. Although there are those who claim that this rise is a trap, crypto markets have switched to greed. And the Bitcoin fear and greed index has reached its highest point in a year.

Bitcoin has reached 61 on the fear and greed index, which seems to have escalated the greed of the market compared to last year. While the Bitcoin fear and greed index has increased, the bull rhetoric of crypto investors has dominated the market again, and some investors claim that this data may be the start of a bull market. Bitcoin, which was at extreme fear levels on the last day of 2022, will enter February at levels where greed is increasing rapidly. This situation also reveals that the investors entering the market in 2023 are quite greedy.

Meanwhile, Bitcoin miners, who were having a hard time in 2022, increased their income by more than 50 percent as Bitcoin reached the level of $ 23000. Bitcoin mining companies, which struggled to survive last year, took some relief with this income increase. Bitcoin mining revenues were at the level of $15.3 million on January 1, and increased to about $23 million in a month. This situation became a lifeline for mining companies that were on the verge of bankruptcy. We know that it will be harder for some miners to survive as long as Bitcoin is below $20,000, but it will get harder in 2024. So why?

Bitcoin halving is one of the most anticipated events on the Bitcoin side. Bitcoin halving is an event where the reward for mining new Bitcoin blocks is cut in half, which means that miners will receive 50% fewer Bitcoins for verifying transactions. Bitcoin Halving takes place on average every 4 years. There have been three halvings on the Bitcoin side so far. The first of these was in 2012, and the block reward, which was 50 BTC in the first Bitcoin halving, decreased to 25 BTC. The second Bitcoin halving occurred in 2016 and the reward decreased to 12.5 BTC. The third Bitcoin halving took place in 2020 and the block reward decreased to 6.25 BTC. With the halving in 2024, the block reward in the Bitcoin network will decrease to 3,125 BTC.

Since the supply of Bitcoin is limited to 21 million BTC, the number of Bitcoins mined per block is automatically reduced every four years. That's why the Bitcoin halving is of critical importance. So, will this have an effect on the Bitcoin price? Let's look at the past data. Looking at the past years, Bitcoin miners have not been bothered by the decrease in block rewards due to the halving, as they thought that there would be a significant increase in Bitcoin value in halvings. The latest Bitcoin halving happened on May 11, 2020. So what does the chart say?

Before the Bitcoin halving, Bitcoin was around $3,782 in March 2020, and rose to around $8,500 on May 11, 2020, when the halving took place. As seen in the chart, Bitcoin did not return to these prices again. On the contrary, it continued to rise. The rise of Bitcoin due to the halving in 2020 makes the Bitcoin halving in 2024 more exciting. Looking at the past years, it seems not a coincidence that investors have been quite enthusiastic this year. Bitcoin is currently trading around $22,718. The current fear and greed index and historical data on Bitcoin halvings suggest that Bitcoin may continue to rise.

Frankly, it is difficult to know which direction prices will go in the short term, but I have always been very optimistic about Bitcoin. And I believe it will reach great heights in the future. That's why I don't plan to make any sales plans until Bitcoin exceeds $200,000. Some say $200,000 is a dream. So who would have imagined that Bitcoin could reach $69,000? But those who saw the big picture believed it.

Bitcoin was around $3,700 in March 2020, surpassing $60,000 a year later. So how much do you think Bitcoin can rise in the coming years?

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