Bitcoin (BTC) In “No Man’s Land,” Exclaims CNBC Trader
CNBC’s “Futures Now” segment recently brought on Jeff Kilburg, the CEO of KKM Financial, and Jim Iurio, a broker at TJM Institutional Services, to discuss the recent uptick in buying pressure for Bitcoin (BTC). For those who missed the memo, within a week’s time, BTC, which found a year-to-date low at ~$3150 last week, has recovered to the $4,000-$4,100 range.
Analysts have been unable to discern whether this seeming “relief rally” was catalyzed by fundamental catalysts or pure technicals. Some commentators, like Alex Kruger, have noted that technicals remain the strongest impetus behind this market’s day-to-day movement. As such, the crypto-friendly researcher noted that BTC’s recent recovery is merely a correction off oversold levels, rather than a shift in this industry’s fabric, subsequently adding that a move back to the low 3000s isn’t out of the realm of possibility.
The aforementioned CNBC guests seemingly echoed this sentiment, noting that BTC could fall back to its year-to-date lows in the weeks to come. Iurio first noted that “he’s never been a lover of Bitcoin,” explaining that if BTC holds above $4,085, $4,515 is likely, but otherwise, the flagship cryptocurrency could move drastically lower.
Kilburg, more cynical that Iurio, explained that bears “have unfinished business [in crypto],” making it clear that he doesn’t expect for the blockchain-based asset to hold above $4,000 for extended periods of time. In fact, the KKM chief noted that “unless we see something substantial come out of the SEC/White House,” BTC remains in no man’s land and could fall to $3,000 (a new year-to-date low) because of a lack of fundamental driver.
Iurio, turning on a dime, echoed Kilburg’s statements. The broker noted that that crypto’s headlines are rarely ever that the “SEC has decided that they love Bitcoin,” instead, their regulatory measures that depress prices, especially in token markets.
Interestingly, the two closed off their segments by drawing attention to crypto forays from the Intercontinental Exchange and Nasdaq, noting that as players continue to “enter the hot tub” there will eventually be a party in this industry, so to speak.
Not So Fast, Maybe The Crypto Rally Has Some Legs
Although the two aforementioned CNBC traders aren’t sold on BTC’s short-term prospects, other analysts have exclaimed that the crypto market’s most recent double-digit recovery has legs. Crypto Quantamental, an American crypto trader with a background in traditional equity markets, noted that Bitcoin is “showing the classic signs of a ‘V’ recovery.”
Bitcoin is showing the classic signs of a “V” recovery with record volume and massive price moves. In fact today (12/20/18) was the HIGHEST VOLUME DAY EVER!
Check out the blog post or continue reading below to see the formation of a “V”….. (1/N)https://t.co/6RlJnA0L8z
— Crypto Quantamental (@CryptoQF) December 21, 2018
He/she noted that the surge in BTC could be more than a “dead cat bounce,” as Kruger saw it. In fact, Quantamental noted that the “record-breaking” volumes (in BTC count, not $) indicate that a bottom could be forming. Per Quantamental, yesterday (Dec. 20) was Bitcoin’s highest volume day in its ten-year history, with exchanges en bloc reportedly trading 2,226,735 BTC at an average price of $3,938.
Although both sides of the argument hold some semblance of credence, the fact of the matter is that in markets, whether it be stocks, bonds, or cryptocurrencies, no single individual/group can accurately predict where prices are headed next. But they try nonetheless. And in the end, some will succeed, and others won’t.
Title Image Courtesy of Icons8 Team Via Unsplash