The recent acceleration of Bitcoin and the fact that it has seen levels that it has not seen in a long time has led many investors to question whether these levels are sustainable. For this reason, many investors follow some analysts, traders. In this article, we will share the expectations of the analyst Kaleo, who is known to be a Bitcoin whale, about the largest cryptocurrency. Here are the details…
Bitcoin whale awaits $30,000 for BTC
Bitcoin whale Kaleo said that Bitcoin could hit $30,000 for a while in February. The analyst made an analogy between the current price action and the movements in 2019. He said he saw Bitcoin forming “patterns” similar to those in 2019, when it surged from $3,000 to $14,000 within weeks. Additionally, he said that BTC will likely dominate the crypto markets and draw liquidity from altcoins.
Not much change over the past several days for $ETH / $BTC
Still expecting this level to break lower over the next several weeks as BTC continues to strengthen, absorbing liquidity from alts similar to what happened in the 2019 bear market rally pic.twitter.com/yPRpmNNqkQ
— K A L E O (@CryptoKaleo) January 19, 2023
Investment firm Morgan Stanley, on the other hand, attributed the recent rally to the liquidation of short-term Bitcoin futures. Because, it is known that many short selling positions were liquidated as a result of the sharp rise in Bitcoin. Therefore, as the firm reported, “BTC’s rally has been rapid and has been driven by technical factors rather than a fundamental shift in the opinion of market participants.” In addition, the company used the following statements:
As a result, transaction volumes are low and institutional activity is likely to increase if BTC rises significantly.
There is a major event on the horizon that could affect BTC
Meanwhile, a development that is likely to affect the price of Bitcoin stands out. BTC, the largest cryptocurrency by market cap, boosted its gains over the weekend ahead of the New Year holiday and Spring Festival celebrations in Southeast Asia and rose to its highest level since August. The leading cryptocurrency rose above $23,000 on Saturday, up as much as 10 percent compared to the previous day, according to cryptokoin.com data. The coin hit a local high near $23,282, a level not seen in over five months. As of now, Bitcoin is trading at around $22,800, staying almost flat in the past day.
Ethereum, the second largest cryptocurrency, also recorded significant gains, hitting a local high of around $1,674. This is a level not seen since September last year when the highly anticipated Merge upgrade passed. Its total market capitalization has exceeded $1 trillion. The rally comes as Bitcoin has historically performed well at the start of the New Year holiday celebrated in much of Asia, often referred to as the Chinese New Year. According to Matrixport head of research, Markus Thielen, the New Year holiday is considered a good entry time for investors.
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