Author: 1912212.eth, Foresight News
The crypto market has been turbulent recently. After the Trump Meme Coin, the market's hot spots have cooled down, and capital inflows have slowed, leaving crypto players fatigued in on-chain PvP. Today, Bitcoin briefly plunged from $105,000 to below $98,000, hitting a low of $97,777.77, a drop of over 5.5% in 24 hours. Altcoins were dragged down, with AI/L1/L2/Restaking/MEME tokens seeing significant declines. Investors' long-awaited crypto and altcoin bull market has not materialized, and their wallet assets have shrunk considerably.
The reasons behind this drop and the subsequent market outlook have naturally become a major concern for investors. So, how do industry leaders and institutions view the current market sentiment?
Matrixport: A 10% Bitcoin bull market correction could be a strategic buying opportunity
Matrixport's daily chart observation states that since the bull market began at the end of 2022, Bitcoin has shown strong resilience, with 30-day price corrections rarely exceeding -10%, while bear market monthly declines often reach 30% or more.
Last week, Bitcoin approached the -10% correction level, which is typically viewed as the bottom of the consolidation phase in this bull cycle. In contrast, the +40% sharp rallies in March and November 2024 are considered profit-taking opportunities.
Looking at the trend chart, Bitcoin is still in a bull market, and if the trend continues, the -10% correction could be a strategic buy-in opportunity.
Arthur Hayes: Predicts Bitcoin will correct to $70,000-$75,000 and then surge to $250,000 by year-end
BitMEX co-founder Arthur Hayes just published a forecast that "Bitcoin will experience a significant correction in the short term, with the price potentially dropping from the current level to the $70,000 to $75,000 range, accompanied by a small financial crisis. As global central banks resume quantitative easing policies and inject liquidity back into the market, Bitcoin will restart its uptrend and is expected to surge to $250,000 by the end of the year."
WhaleWire founder: Japan's rate hike causing US stocks to plummet, arbitrage traders forced to sell assets to repay loans
WhaleWire founder Jacob King posted on social media that the main reason for the stock futures crash is that yen carry trade participants are forced to sell assets to repay loans, and this week could be very bloody.
Jacob explained that in August 2024, Japan will raise rates from 0.1% to 0.25%, triggering a flash crash. Now, Japan has raised rates to 0.5%, with the 2-year yield at 0.71%. Japan's higher rates are ending the yen carry trade, where investors borrow cheap yen to invest in other assets. Now, as borrowing costs rise, they are forced to sell assets to repay loans.
Coindesk analyst: BTC may form a Double Top pattern, potentially dropping to $75,000
According to Coindesk analyst Omkar Godbole, BTC may be forming a Double Top reversal pattern on the daily chart. As it failed to hold above the December highs last week, BTC appears to have formed a Double Top, with the neckline support around $91,300. A break below the neckline support could trigger a decline toward $75,000.
Analyst Miles Deutscher: DeepSeek panic combined with FOMC risk-off could be a good buy-the-dips opportunity
Well-known crypto analyst Miles Deutscher posted that the DeepSeek panic combined with FOMC risk-off appears to be a pretty decent buy-the-dips opportunity. Panic selling tends to provide better entry points than slow grinds lower. He has set limit orders/TWAP orders.
Trader Alex Kruger: When facing uncertainty combined with low liquidity, the market can see a sharp drop
Trader Alex Kruger tweeted that the problem is that few people truly understand how much the DeepSeek changes have impacted the market - this issue seems hard to quantify. And when facing uncertainty, people tend to reduce risk. When this happens in low liquidity conditions, the market can see a violent decline. We formed a local bottom when BTC broke $98,000 (the market had already crashed by then). But this is not the dip I would choose to buy, except for short-term trading.
Alex Kruger said he is more inclined to short BTC above $100,000 (rather than now) and temporarily put aside long-term investment plans. It will be a very turbulent week, as the Fed, earnings season, and Trump's high-frequency media activity will all impact the market.
