Following Bitcoin’s peak since 2021, Daniel Yan, co-founder of the Singaporean crypto services company Matrixport, predicts an impending market drop.
“The sentiment of the market has come to a level where I think we should be cautious,” the co-founder wrote on February 28. “I think we should see another healthy ~15% correction by end-April.” In explaining his rationale, Yan said that the month of March is a “tricky one” from a macroeconomic perspective, pointing to examples such as the U.S. Federal Reserves meeting, Bitcoin halving, and the Ethereum Dencun upgrade. Yan stated.
“From where, 65k or 60k or now? I really don’t know. I don’t even know which comes sooner – a new ATH in BTC or the correction. Again – you don’t have to bother too much on this if you are a long-term holder. For those who are tempted to trade the short term moves, watch March.”
The same day, Bitcoin broke beyond the $60,000 barrier set during the bull market of 2020–2021.According to data from the Crypto Fear & Greed Index, severe greed is currently indicated with a score of 82/100.Since the U.S. Securities and Exchange Commission (SEC) approved multiple spot Bitcoin exchange-traded funds (ETFs) last month, investors have gone crazy. One such ETF, BlackRock’s iShares Bitcoin Trust, is currently managing $7.5 billion in assets.Yan may be pessimistic, but Matrixport’s market forecasts haven’t always come true.When Bitcoin was valued at $40,800 in January, Matrixport alerted investors to the possibility that political risk considerations may prevent the SEC from approving spot Bitcoin ETFs.Since then, spot Bitcoin ETFs have been authorized, and the price of bitcoin has increased.