Matrixport Makes Bold Predictions: Bitcoin (BTC) Price Set to Plummet at $36K
The crypto market is currently divided, and King Crypto is contending with concerns about the crash of ETFs. Bitcoin had a tough week, dropping below $40,000 for the first time since December and hitting around $38,680 on January 23, 2024. However, the cryptocurrency has since rebounded, surpassing the $40,000 threshold and currently trading at $40,070, representing a 0.3% increase in the past 24 hours. This rally has instilled investor confidence in Bitcoin. But Matrixport has some intriguing insights to share.
Matrixport’s Bold Assertions: Are $50,000 Projections Unrealistic Given Market Conditions?
According to Matrixport’s recent research report, released on January 26, Bitcoin is expected to experience a decline to the support level of $36,739. The report suggests that despite TradeFi’s lukewarm interest in a Bitcoin spot ETF and GBTC investors cashing in on profits, the overall liquidity squeeze and macro factors remain bullish, allowing for a rebound from this support level.
Interestingly, Matrixport Research, as reported by crypto journalist Colin Wu, challenges the recent recovery of Bitcoin, asserting that it will inevitably drop to $36,739. The report attributes this potential decline to TradeFi’s lack of enthusiasm for Bitcoin spot ETFs and the ongoing profit-taking by GBTC investors. Grayscale, having received approval to launch spot-based Bitcoin ETFs, has been transferring significant amounts of Bitcoin to Coinbase Prime, eliciting mixed reactions within the crypto community. According to lookonchain data, since the ETF approval, Grayscale has deposited 103,134 BTC ($4.23 billion) to the custodian platform, with 9,434 BTC being the most significant move this week.
A few weeks ago, Matrixport made a prediction that Bitcoin would soar and reach $50,000 after the SEC approved Bitcoin spot ETFs on January 10. This forecast closely aligns with their previous prediction. Despite the approval, Bitcoin is still valued at $40,000. Matrixport predicts that it could drop to $36,739 before experiencing another rise.
Tags: Crypto news