After the Spot Bitcoin ETF approval, there was a sell-off event in BTC and the price fell sharply.
While BTC experienced a retreat to $ 41,000 after the sales pressure, there is a general expectation in the market that the sales pressure in Bitcoin will continue.
However, Fidelity's Global Macro Director Jurrien Timer, whose spot ETF application was approved, said that he did not expect the sales and sales pressure in Bitcoin to continue for a longer time.
Sharing from account X, Jurrien Timer said that current trends in Bitcoin price point to a short-term correction and price adjustment rather than a long-term trend reversal.
Timmer, who thinks that ETFs will be positive for the BTC price in the long term, stated that it may take some time to reach the targeted level and said, “For now, Bitcoin has reached the middle of what I consider to be the fair value range, with the impact of the growth rate of its network and the level of real rates.”
“The short-term question regarding ETF approvals and the impact on Bitcoin price is whether this is a news sell event.
At this point, I think it will take some time for Bitcoin to consolidate the recent gains, now that the ETFs have been approved and the big moment has arrived.
The decline after ETF approval, in my view, indicates a short-term correction and not a reversal of a long-term uptrend.
However, the expiration of more than 13,000 futures contracts is likely to cause some volatility in Bitcoin price movements in the coming weeks. “
Well, the moment finally came last week, which is very exciting to say the least. Will this be a new chapter towards Bitcoin’s widespread adoption as a commodity-currency? 🧵
— Jurrien Timmer (@TimmerFidelity) January 16, 2024
*This is not investment advice.