Bitcoin (BTC) series looks set to take a breather in early January, according to Newton Advisors president Mark Newton.
What happened: The apex cryptocurrency still looks ‘bullish on an interim basis’ as it has just broken out at the all-time high, Newton told CNBC’s chart analysis.
“In the short term, my cycle component shows us a peak in early January,” the analyst said.
Based on his analysis on another chart, which uses three different Bitcoin cycles, Newton said: ‘All the years we had a stellar quarter, we reversed the trend in late December, early January, and actually went lower. ‘
“I think there will be a chance to buy declines in the first quarter of next year,” Newton said.
Why it matters: Newton has long been involved in various cryptocurrencies and has revealed that he wants to sell some of his positions in the next ‘one or two weeks’. ‘
When comparing investors with institutions, Newton noted that with ‘SPACs at the moment’ you can earn money at 10, 15, 20% per day. ‘
“I just do not think investors have the appetite for crypto, while the institutions are definitely moving in that direction.”
See also: MicroStrategy now owns 70,470 Bitcoin after spending $ 1.1 billion in 2020
Cryptocurrency markets are on fire, with BTC rising nearly 36.7% since the beginning of the month and 273.22% year-on-year. The cryptocurrency reached its all-time high of $ 28,288.84 on December 27th.
Ethereum (ETH) has risen 16.78% since the beginning of December and 451.79% on a YTD basis.
Grayscale Bitcoin Trust (OTC: GBTC) and Grayscale Ethereum Trust (OTC: ETHE) closed Monday 11.33% and 4.32% higher at $ 30.45 and $ 16.90 respectively.
By that time, Bitcoin was trading 1.26% lower at $ 26,845.73 and Ethereum was trading 1.06% higher at $ 715.97.
Latest ratings for GBTC
|Feb 2018||Buckingham||Initiate coverage||Sell|
|Jul 2015||Wedbush||Initiate coverage on||Perform better|
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