Two well-known cryptocurrency market analysts, Willie Wu and Plan B, expressed their opinion on the current state of the Bitcoin price.
Willie Wu said that according to his data, large investors are currently buying bitcoins while the retail segment of the cryptocurrency market is still lagging behind them. Thus, Wu concludes that the bitcoin market is at the very beginning of its growth:
“What I expect is that ordinary investors are only now really starting to come to the bitcoin market. In fact, surprisingly, this is true: retail investors are very slowly increasing their investments in bitcoins, while institutional players are buying up the oldest cryptocurrency in bulk. The number of large investors, each of whom owns bitcoins worth at least $ 40 million, is now growing sharply – there has never been anything like this in the history of the # 1 cryptocurrency before. “
Wu believes that as a result, Bitcoin is likely to never fall below the $ 30,500 mark.
The author of the S2F forecast model for Bitcoin, Plan B, agrees with Wu and believes that the bullish trend for Bitcoin could continue for at least another six months. Plan B believes that this year, Bitcoin may eventually “look closer” to the $ 100 thousand mark, if the situation resembles 2017. But if the market follows the pattern of development that was in 2013, then cryptocurrency number 1 will be able to rise in price to 288 thousand dollars.
3) But whereas Skew has seen near-term action, there is still an absence of any institutional longer-term hedging. In fact, Funds continue (low volumes) to take advantage of selling Jun-Dec <+ 40k Put strikes. This flow has pressured longer-term IV, while fronts still trade 2-way. pic.twitter.com/OHrRNF4Twp
– Deribit Insights (@DeribitInsights) February 15, 2021
The situation in the bitcoin derivatives market also indicates that investors generally do not expect a strong correction in the price of this asset in the near future. According to Deribit Insights, investors will continue to sell rather than buy bitcoin put options with a strike below $ 40K.