BTC price due $55.4K next amid warnings over end of Bitcoin ‘euphoria’
Bitcoin may be “up only” on short timeframes, but seasoned traders are already preparing for a blow-off BTC price top and subsequent bear market.
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Bitcoin
BTC
$51,233
is on the way to $55,000 this week — but warnings of a new bear market are already surfacing.In his latest analysis on X (formerly Twitter) on Feb. 14, popular trader Titan of Crypto confirmed a $55,400 BTC price target next.
BTC price: Ichimoku analysis points higher
Bitcoin bulls continue to fight for the road toward all-time highs, with resistance around $52,000 currently forming the battleground.
Titan of Crypto, capturing overall market sentiment, suggested that “extremely bullish momentum” could take BTC/USD another 6% higher in the coming week.
Uploading a weekly chart including Ichimoku Cloud data, he outlined one more upside target left to hit, with two already achieved.
“Both target 1 & 2 have been hit but $50,900 is a strong level. If Bitcoin manage to close a weekly candle above, target 3 at $55.4k is next,” part of the accompanying commentary stated.
“Note that given the extremely bullish momentum target 3 has high chance to get hit even before the end of the week.”
BTC/USD weekly chart with Ichimoku Cloud data. Source: Titan of Crypto/X
As Cointelegraph reported, Ichimoku currently shows a rare bullish setup on weekly timeframes, with BTC’s price now clearing major resistance features.
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Trader cautions over “unhinged greed” coming to Bitcoin
Looking ahead, however, concerns over a potentially “overheated” market are leading to BTC price downside predictions.
Related: Bitcoin bulls flirt with $69K BTC price target as crypto market nears $2T
In a lengthy X post, trader and analyst Credible Crypto warned that even if existing all-time highs are exceeded and BTC/USD passes $100,000, the odds of a snap correction are increasing.
This, he says, represents natural market dynamics — despite heavy inflows into the spot Bitcoin exchange-traded funds (ETFs), nothing can remain in “up only” mode indefinitely.
“At the end of the day, for every major parabolic rise there is a major crash, and vice versa,” he wrote.
“You don’t get unhinged greed and euphoria (and the vertical price appreciation that comes with it) without an equal and opposite reaction when that euphoria peaks.”
Credible Crypto referenced another post by trader and YouTuber TXMC Trades, who earlier told readers not to trust in ETF inflows propelling Bitcoin higher ad infinitum.
While I do think that we are on an aggressive path to new all time highs at the moment, the tweet below is important to cement into your mind- as there will be a point in the relatively near future when a major crash/correction will be deemed "impossible" because we "are in a new… https://t.co/mYghO2GE4s
— CrediBULL Crypto (@CredibleCrypto) February 14, 2024
Others also maintain an air of caution over BTC price strength. For Michaël van de Poppe, founder and CEO of MN Trading, the market is already “slightly overheated.”
“I wouldn’t be unhappy if we got a slight correction to return to reality,” he concluded on the day.
The inflow in the ETF is great for #Bitcoin.
However, it's not the sole argument for the markets to move.
If I look at this clean chart, it suggests that we're:
- Super bullish.
- Slightly overheated.
I wouldn't be unhappy if we got a slight correction to return to reality. pic.twitter.com/ZNnoNQGeeK
— Michaël van de Poppe (@CryptoMichNL) February 15, 2024
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Disclaimer: The information contained on this widget is not intended as, and shall not be understood or construed as legal, tax, investment, financial, or other advice. Nothing contained on this widget constitutes a solicitation, recommendation, endorsement, or offer by Cointelegraph or any third party service provider to buy or sell any cryptoassets or other financial instruments. We advise you to spend only what you can afford to lose, and always seek independent financial advice if you are in doubt. You should not purchase any cryptoassets if you do not fully understand the nature of your purchase and the risks involved. We recommend that you refer to the issuer’s/ advertiser’s t&c and help/ support pages for more information.
Michael Saylor to forever buy Bitcoin — ‘No reason to sell the winner’
The MicroStrategy executive chair claimed Bitcoin was superior to gold and real estate and predicted that capital from those assets would make its way into the cryptocurrency.
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Michael Saylor has no plans to sell Bitcoin, even as the holdings of his company MicroStrategy have swelled to reach an unrealized profit just shy of $4 billion.
“I’m going to be buying the top forever. Bitcoin is the exit strategy,” Saylor said, speaking to Bloomberg on Feb. 20 when asked if his firm would sell its 190,000 BTC stash — worth around $9.88 billion at current prices.
Outlining his bullish case for Bitcoin
BTC$51,233
, Saylor claimed the cryptocurrency is “technically superior” to gold, the S&P 500 and real estate, despite each asset class having a far greater market capitalization than Bitcoin’s $1 trillion.“We believe capital is going to keep flowing from those asset classes into Bitcoin,” he said.
“Bitcoin is technically superior to those asset classes. And that being the case, there’s just no reason to sell the winner to buy the losers.”
MicroStrategy — a business intelligence software firm — became the first publicly traded company to start scooping up Bitcoin in 2020. The 190,000 BTC it held as of the fourth quarter of 2023 cost an average of $31,224 each, bringing MicroStrategy’s total investment cost to $5.93 billion.
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United States-based spot Bitcoin exchange-traded funds (ETFs), excluding the Grayscale Bitcoin Trust (GBTC), hold an estimated 270,000 BTC as of Friday, Feb. 16, according to HODL15Capital data.
Saylor said the demand for Bitcoin, generated by a growing appetite for ETF products, “has been far in excess of the supply from the miners,” sometimes up to “10 times as much.”
Related: MicroStrategy listing in the S&P 500 index could expose millions to Bitcoin
However, he brushed off concerns that the ETFs would make it harder for MicroStrategy to buy Bitcoin, saying it employs a “levered operating strategy” for investment in the digital asset.
“The spot ETFs have opened up a gateway for institutional capital to flow into the Bitcoin ecosystem,” Saylor said. “They’re facilitating the digital transformation of capital, and every day, hundreds of millions of dollars of capital is flowing from the traditional analog ecosystem into the digital economy.”
“This is a rising tide. It’s going to lift all boats,” he said.
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Disclaimer: The information contained on this widget is not intended as, and shall not be understood or construed as legal, tax, investment, financial, or other advice. Nothing contained on this widget constitutes a solicitation, recommendation, endorsement, or offer by Cointelegraph or any third party service provider to buy or sell any cryptoassets or other financial instruments. We advise you to spend only what you can afford to lose, and always seek independent financial advice if you are in doubt. You should not purchase any cryptoassets if you do not fully understand the nature of your purchase and the risks involved. We recommend that you refer to the issuer’s/ advertiser’s t&c and help/ support pages for more information.
Winklevoss twins donate $4.9M to crypto super PAC Fairshake
Fairshake, a political action committee supported by Coinbase and a16z, has a $73 million war chest to oppose anti-crypto candidates and support those in favor of digital assets.
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Tyler and Cameron Winklevoss have donated $4.9 million to the crypto-focused Fairshake super political action committee (PAC) to support crypto-friendly candidates in the upcoming United States elections.
According to data from the U.S. Federal Election Committee (FEC) and Fairshake’s latest federal filings on Feb. 20, the Winklevoss twins each donated $2.45 million to the super PAC.
Additionally, Fairshake reported having $72.8 million in cash on hand at the end of the reporting period.
Fairshake’s largest donors in 2024 include Payward — operating as the Kraken crypto exchange — which donated $750,000 on Jan. 12, and Electric Capital Partners, which donated $500,000 on Jan. 26, according to the documents.
The Winklevoss twins each donated $2.45 million to the Fairshake super PAC. Source: FEC
Other recent donors to the crypto super PAC include venture capital firm Blockchain Capital, which donated $100,000 in January.
In December 2023, Fairshake received a combined $14 million from crypto venture capitalists Marc Andreessen and Ben Horowitz of Andreessen Horowitz, $5 million from Jump Crypto, $15.5 million from Coinbase and $20 million from Ripple Labs, according to OpenSecrets.
Fairshake describes itself as supporting candidates “committed to securing the United States as the home to innovators building the next generation of the internet.”
Related: Pro-crypto Super PAC targets Rep. Katie Porter in California Senate race
Many within the crypto industry view Fairshake as a critical player heading into the 2024 U.S. election, as the crypto industry faces increased scrutiny from lawmakers and regulators following a slew of high-profile collapses in the last 18 months.
Fairshake aims to fight the over-regulation of the industry by backing crypto-friendly candidates from both sides of the political aisle in the United States.
On Feb. 13, a political advertising tracker revealed that Fairshake had spent $3.6 million opposing anti-crypto California Senate candidate Katie Porter, its biggest outlay to influence an election so far.
On Feb. 18, crypto critic Senator Elizabeth Warren said that super PACs could “spend any amount of money needed” to attempt to stop her Senate run.
The 2024 election in the U.S. is scheduled for November, with all 435 seats in the House of Representatives, 33 seats in the Senate and the presidency up for grabs.
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