Cryptocurrency analysis company Matrixport co-founder Daniel Yan issued a warning to cryptocurrency investors, suggesting that market sentiment has reached a level of enthusiasm that requires caution. He predicts a healthy correction of around 15% by the end of April.
Daniel's prediction is based on his analysis of current market conditions and upcoming events. He believes that March could be particularly vulnerable due to its macroeconomic implications, including the Fed meeting and the Bank Term Funding Program (BTFP) termination phenomenon.
According to the analyst, the upcoming Dencun mainnet update and the upcoming Bitcoin halving are also factors that could potentially affect market dynamics. However, Daniel admits that it is difficult to predict the exact timing and magnitude of the correction.
“I really don't know if the correction will come from a Bitcoin price of 65,000, 60,000 or the current level,” Daniel said and added:
“I don't even know which will come sooner, a new All Time High (ATH) in Bitcoin or a correction.”
Despite the uncertainty, Daniel advises long-term asset owners not to be overly concerned about these short-term market fluctuations.
*This is not investment advice.