After BTC Visits $8.6K, Crypto Traders Predict Bitcoin Price's Next Stop

The price of Bitcoin dropped to as low as $8,600 on May 25 as retail investors on Coinbase led an abrupt short-term downtrend.

Top crypto traders remain mixed on the current trend of Bitcoin.

If the price of Bitcoin remains above $9,000 until June 1 and achieves a monthly close above mid-$9,000, it would increase the probability of a sizable rally heading into the third quarter.

In the last two months, the price of Bitcoin almost tripled from $3,600 to $10,080.

The perception of Bitcoin as a store of value and a newly emerging hedge against inflation has improved as a result, causing a rise in inflow of capital into the Bitcoin market from institutional investors.

In the first quarter of 2019, the Grayscale Bitcoin Trust - an investment vehicle that allows institutions to buy into Bitcoin through the public market - recorded an average weekly investment of $3.2 million.

The rise in institutional activity in the Bitcoin market, the reluctance of many investors to sell at current prices, the drop in large transactions, and the tendency of BTC to see a short squeeze when a negative funding rate emerges all point toward a short-term price uptrend.

The price of Bitcoin increased from $8,600 to $9,200 on May 27, but it pulled back almost immediately afterward.

Bitcoin saw a price spike as Goldman Sachs conducted a client call on the topic of Bitcoin, gold and inflation.

The actual content of the presentation by Goldman Sachs about Bitcoin and gold does not describe Bitcoin in a way that would invite the bank's clients to trade or invest in the asset.