Bitcoin price hovering around $30,000 is GOOD! Here's why

Bitcoin has been consolidating around $30,000 for quite a while now. Most people lost all hope of a renewed uptrend and already are liquidating their crypto portfolios. However, it is important to note that most tokens are currently around their respective support areas. Naturally, the $30,000 for Bitcoin is a strong psychological price that represents a buy zone. In this Bitcoin price prediction article, we’re going to see why Bitcoin consolidating around $30,000 is a good thing, signaling higher prices in the future.

Is the current Bitcoin price good for Buying?

Bitcoin prices fell from a high of $69,600 and reached the current price of $29,350. This 57% drop in prices crashed the entire cryptocurrency market. A snowball effect started to happen, where other crypto projects got affected by those falling prices, and in turn, crashed even harder.

Bitcoin price consolidation: BTC/USD 1-day chart — **Fig.1** BTC/USD 1-day chart – TradingView

The $30,000 price area for Bitcoin is a very important one. In fact, many big firms purchased Bitcoins around that price. Additionally, looking at figure 2 below, we can see how previously, Bitcoin prices did also consolidate around those exact areas before going on an uptrend.

BTC/USD 1-day chart showing the consolidation area of Bitcoin price consolidation — **Fig.2** BTC/USD 1-day chart showing the consolidation area of BTC – TradingView

Bitcoin Price Prediction – What’s going to happen after the consolidation?

If BTC prices happen to drop below $28,000 again, the next support area would be around $20,000. However, it is more likely that prices will increase from this Bitcoin price consolidation phase. The first target is around $35,000, or a 17% increase in prices. After that, prices should target the next psychological price of $40,000. From there, we might see a slight adjustment lower, but in the long term, prices should break higher. This would mark the official start of the uptrend.