Bloomberg Analyst Issues Bitcoin Warning, Says BTC Has Hit ‘Exit Signal’ and Could Go Even Lower
Bloomberg Intelligence’s crypto market analyst Jamie Coutts is issuing an alert on Bitcoin, warning that BTC is becoming vulnerable to contracting global liquidity.
Coutts says on the social media platform X that Bitcoin hit the market “exit signal” around mid-July at a price of $29,500, a level that’s about 11% higher than current prices.
“Our trend model is still out of the market (negative) from $29,500.”
Bitcoin is trading at $26,187 at time of writing.
According to Coutts, Bitcoin is only likely to turn bullish when the level of global liquidity expands.
“Meanwhile the global liquidity contraction (money supply and central bank balance sheets) has slowed, but is still deeply negative. Until this reverses, Bitcoin is unlikely to go higher. Likely lower.”
On the liquidity levels in the US, Coutts says,
“And although the US Liquidity index is higher recently, it’s simply whipping around in a sideways range and therefore signals are basically noise, unless there is a meaningful push higher, which would likely only come with a policy change from the Federal Reserve. Not likely in the short term.”
The Bloomberg Intelligence analyst says that while the anticipated approval of a spot Bitcoin exchange-traded fund (ETF) in the US could potentially be a positive catalyst over the long term for crypto markets, demand for digital assets from institutional investors is unlikely to be significant until liquidity rises.
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Credit: Source link
Comments are closed.