Fidelity Exec Timmer Foresees Continued Bitcoin Churn

Fidelity Executive Director Jurrien Timmer has predicted that Bitcoin would continue to see continued price churn.

Timmer, known for his astute analysis, opined that some positions in Bitcoin futures and Bitcoin-sensitive equities have started to unwind.

Caution optimism

Timmer’s recent Bitcoin analysis is filled with cautious optimism. The SEC’s nod to Bitcoin ETFs is a big deal, no doubt – a leap toward Bitcoin’s “adulthood” in the investment world. But with big steps comes big volatility.

Bitcoin’s value path, now intertwined with the fate of these ETFs, has become a tightrope walk between immediate reactions and long-term potential.

Hence, Timmer expects more price churn now that the spot ETF launch ended up being a sell-the-news event.

As Timmer suggests, the recent dip in the Goldman Sachs Bitcoin-sensitive equities index is more of a market recalibration than a red flag.

Bitcoin’s terrible crash

The aftermath of the ETF launch? Bitcoin’s value taking a 20% nosedive from its recent high. This drop has the crypto community split.

Blockstream CEO Adam Back, a well-known crypto figure, remains bullish, seeing the ETFs as a massive wall of buying power supporting Bitcoin prices.

He’s calling out the “weak hands” on the market, arguing that they are not buying enough to counter the dip.

don’t blame the ETFs, 9 new ETFs are BTFD, huge price supportL $4.4bil in 8 days, $550m/day. that’s like 30x effect of the halving. literal wall of buying. if anything it’s bitcoin weak hands under-buying. those ETF buyers are low velocity, fairly “cold”, like whale buy and hodl.

— Adam Back (@adam3us) January 23, 2024

On the flip side, Jim Cramer’s take is more bearish. He has predicted that Bitcoin’s downward trend might persist, citing a lack of sufficient capital inflows to prop up the market.


Click to rate this post!
[Total: 0 Average: 0]
Show More