Bitcoin anti-gravity phase: BTC could hit $75,000 in the coming months, says WOO Co-founder Jack Tan
BTC and ETH are detaching from the broader crypto market, Tan describes
Update: October 25, 2023 - We are now past the highs of the fake news pump
The statement below is Jack Tan’s commentary on the recent BTC movement, pushing past the $35,000 mark.
“I believe ETH will eventually catch up with BTC, in line with what I wrote before. I also called BTC to grind higher in anticipation of an ETF and as a hedge against geopolitical turmoil, necessitating more government spending and money printing. We are now past the highs of the fake news pump.
Altcoins trade more in line with tech stocks, as they don't have the flight-to-safe characteristic of BTC. So until the money printer turns on and risk assets start going nuts, ALTs will generally underperform BTC and ETH.
I would also say that treasury rates seem to have topped out in the short term, as geopolitical fears make it a bad bet to short government bonds. So that's another current that is lifting crypto prices.”
Bitcoin anti-gravity phase
WOO Co-Founder and CEO Jack Tan is foreseeing a potential 'anti-gravity phase' pushing Bitcoin (BTC) to $75,000 in the coming months as BTC showed resilience in the face of dropping stock prices.
Stocks dropped, and the yield on the 10-year Treasury came close to 5% on Thursday following remarks by Fed Chair Jerome Powell, which emphasized the uncertainty about the central bank's strategy to combat inflation. Meanwhile, reacting to the news, the BTC went up to $29,500 inching closer to the $30,000 mark.
The markets delivered a sneak peek on Monday, last week of what will happen when a spot ETF is approved, and Jack Tan believes that upward pressure is now inevitable. “Betting on a sustained decline on BTC here is like going against gravity,” said Tan, who spent nearly a decade as a trader on Wall Street prior to founding WOO Network, and is now calling it the anti-gravity period.
“For sure the ETF anticipation will provide a strong demand but also if people start viewing BTC as a rush to safety trade, this will usher in a new paradigm,” Tan noted. He also believes that the approval of spot ETFs bodes well not only for the price of BTC but also eventually ETH, noting that these two assets could progressively detach from the broader crypto market as Wall Street adopts BTC first via the ETF. According to him, it is still a bit early, but eventually, the trad-fi world will also adopt ETH and echo the same narrative that has been circulating in the crypto space for the past few years.
One of the biggest pain points for more traditional investors since Bitcoin’s inception has been custody and it appears a spot ETF can solve much of that, he said. “These recent developments all point to easy access, custody, and maintenance to hold BTC for the masses,” Tan further noted.
Crypto markets are currently in an accelerated phase as Bitcoin (BTC) nears Wall Street's ETF adoption, with the SEC refraining from a court ruling rejecting their prior rejection of Grayscale's ETF application, and BTC’s brief spike to $30,700 reacting to fake news.
"The sudden spike is just a preview of what will happen if ETFs actually get approved. A lot of this expected impact on the BTC price has already been priced in since the $25,000 level (back in February), as the GBTC discount had been narrowing to 16% as of last Friday's close,” Tan said.
GBTC has traded at a discount since February 2021 and reached a record low of nearly 50% in December last year during the prolonged crypto winter. CoinDesk reported that Grayscale is “operationally ready” to convert GBTC into an ETF upon the SEC’s approval.
—
The content above is neither a recommendation for investment and trading strategies nor an investment offer, solicitation, or recommendation of any product or service. The content is for informational sharing purposes only. Anyone who makes or changes the investment decision based on the content shall undertake the result or loss by themselves.
The content of this document has been translated into different languages and shared throughout different platforms. In case of any discrepancy or inconsistency between different posts caused by mistranslations, the English version on our official website shall prevail.
