Ophelia Snider, 21Shares’ co-founder, said that current market conditions would make it hard for Bitcoin to achieve its price increases of early 2025 in 2026.
“It’s unlikely that the factors driving the current volatility will fully resolve in the short term,” Snyder spoke to Cointelegraph.
“A repeat performance next January will depend heavily on broader market sentiment.”
Snyder explained January’s occurrence. “renewed inflows” into Bitcoin (BTCExchange-traded fund (ETF) as investors balance and reposition their portfolios in the new year.
There is no downtrend “anything crypto specific”
Snyder stated that it was unclear what Bitcoin’s performance will be in January given the low levels of market optimism.
Bitcoin hit a high of $109,000 just one day prior to Donald Trump’s inauguration, when traders predicted that his plans for crypto would spur a rally.
Bitcoin reached a high of $125,100 on 5th October, but then began to decline after the 19 billion dollar crypto-market liquidation on 10th Oct.
Many market participants were prompted by the event to take a more cautious approach in terms of their short-term pricing expectations, after originally having held more optimistic price expectations at year’s end.
Bitcoin has fallen almost 10% since the publication of this story. according CoinMarketCap.
Snyder is more confident about the future in the present environment.
“I am feeling more bullish as I see this most recent correction as a response to a general risk-off sentiment to broader market conditions, rather than anything crypto specific,” “She said”
Catalysts to the downside and upside
Snyder said several factors can push Bitcoin further ahead, including increased demand, government adoption, and the growth of crypto-ETFs.
Related: Strategy won’t be forced to sell Bitcoin if stock drops, Bitwise CIO says
Her comments include the risk-off mood in financial markets, and the continued strength of gold. This could lead to Bitcoin being less attractive for traditional investors.
While some industry executives remain skeptical, others are more hopeful that the past will repeat itself.
Tom Lee, BitMine’s chairperson, recently stated that Bitcoin would reach a high by the end of 2026.
Bitcoin returned an average of 3.81% in the month of Januray since 2013. according CoinGlass is a great way to collect coins.
Magazine:Indian investors look beyond Bitcoin, Japan to soften crypto tax: Asia Express
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Source: cointelegraph.com
