Bitcoin (Bitcoin) “Very close to the bottom” and still maintain a bullish long-term view, the institutional cryptocurrency company Stack Funds believes.
In its latest report Analyst Lennard Neo said in a report released on Wednesday that although the price has plummeted, there is no reason to bearish BTC.
Stack: BTC macro view “remains unchanged”
The report was released the day after BTC/USD Plummeted below $30,000 This is the first time in six months, and only rebounded to the current level of more than $34,000.
Volatility comes from Mining restructuringNow it seems that computing power will be transferred from China to other countries on a large scale.
“Bitcoin also closed lower, falling by 28% after failing to break through $42,000 late last week. After a brief price squeeze yesterday, the digital asset has regained some gains and is currently trading at around $34,000.” Stack concluded.
“Our macro view remains the same because we expect Bitcoin to lay the foundation for further integration.”
Neo highlighted an important date in the short term: Q2 options expire in the last week of June. Valued at US$2.3 billion, this should allow price consolidation after processing.
The option expiration event may put pressure on Bitcoin in advance, but as Cointelegraph famous, Not every expiration will push the market after it occurs.
“What adds to the uncertainty is the $2.3b quarter-end Bitcoin option, which will expire this Friday-partly due to increased market volatility,” he added.
“Nevertheless, we think the market has digested most of the expectations, and we should expect a relatively quiet trading session in the next few days.”
Isn’t it all bad news?
After the events of this week, traders may welcome any opportunity to take stock.Only in the past 24 hours, more than US$1 billion The position is closed due to rapid price fluctuations.
In other words, the liquidation of long positions in the previous week was much less, and Stack attributed this to the “cautious” sentiment of market participants.
In the context of major players such as MicroStrategy Step into In order to increase the supply to $30,000, there is very little that can drive the skeptics’ view of the apocalyptic market adjustment.
“Putting all these factors together, we think Bitcoin is very close to the bottom, at least in the current wave,” Neo concluded.
“We will pay close attention to the price of Bitcoin after the option expires, and it will be interesting to see how this will develop in the first week of July, which is the beginning of the third quarter.”
In July, the main funds will also be released for investors of Grayscale Bitcoin Trust (GBTC).After this incident, some debate The selling pressure of Bitcoin is increasing, and the desire to sell should more or less disappear from the market.
despite this, Not everyone It is certain that the $28,600 bottom seen on Tuesday will be the last bearish for Bitcoin.