Markus Thielen, CEO of 10x Research, has made a bold prediction for the future of Bitcoin, suggesting that the price could potentially drop to $63,000 due to a new cautious outlook. In addition, he has pointed out that the frenzy surrounding meme coins has come to an end, advising investors to consider locking in profits. Thielen’s reputation for accurately forecasting a BTC price retracement to $38,000 following the approval of a spot Bitcoin ETF showcases his expertise in the field.
As a top analyst, Markus Thielen has recently analyzed the reasons behind the recent decline in Bitcoin and Ethereum prices in a detailed report. Concerns regarding an imminent correction were highlighted due to the fragile market structure of Bitcoin following its surge to a new all-time high, coupled with low trading volumes and liquidity. Factors such as the unpredictable market conditions, volatility linked to US inflation and job data, overvaluation of MicroStrategy shares relative to its Bitcoin holdings, and the reluctance of central banks to implement rate cuts all point towards a high likelihood of a correction.
Thielen’s forecast of a potential drop in BTC price to $63,000 before the resumption of a further rally aligns with similar projections made by other analysts, indicating a downward trend prior to the Bitcoin halving. Despite sluggish spot Bitcoin ETF inflows and minimal GBTC selling, Thielen remains cautious about the immediate future of Bitcoin.
Turning attention to Ethereum, fundamental weaknesses have emerged post the Dencun upgrade, with the proliferation of Layer 2 chains diluting Ethereum’s yield. With the odds of a spot Ethereum ETF approval pegged at 30% and weak technical patterns evident on the charts, a consolidation or further pullback in ETH price is anticipated. Currently trading at $3,730, ETH has experienced a 0.5% decrease in the last 24 hours and a 6% drop over the week, with trading volume plummeting by 25% in the same timeframe.
Bitcoin ETFs persist in providing support, fueled by confident BlackRock client investments that have also sparked a rally in meme coins, particularly Shiba Inu. The recent surge in trading volume from South Korea has tapered off, indicating a decline in interest. Altcoin rallies are closely linked to Ethereum’s bullish momentum, raising concerns of a possible peak in meme coin prices and a subsequent correction. The reduction in meme coin trading volume in South Korea provides further evidence of the fading popularity of meme coins and the onset of a broader market correction.
Recent reports have surfaced regarding a significant sell-off of 1 trillion SHIB tokens by a whale on a crypto exchange amidst a broader decline in the market. This development underscores the evolving dynamics within the crypto landscape and the need for investors to remain vigilant in navigating the market fluctuations.
