Market Giant Reveals How Bitcoin Will Spend the Summer, Gives a Date for the Bottom!

The leading cryptocurrency, Bitcoin, has continued its downward trend since October. At this point, BTC has fallen from its all-time high of $126,000 in October to $58,000, and one of the market’s giants predicts that the decline could continue further.

According to Wintermute, one of the largest market makers in the cryptocurrency market, the analysis suggests that the true bottom for Bitcoin may not come until September or October.

In its latest analysis, Wintermute stated that the bear market has progressed significantly, entering its final stages, but is still ongoing, and the true bottom for Bitcoin has not yet been confirmed.

Analysts note that the months-long rally in AI stocks has given way to sharp sell-offs, and that these sell-offs, coupled with high interest rate expectations and weakening corporate capital flows, are dragging down the cryptocurrency market as well.

Analysts also noted that the ongoing tension between the US and Iran, and the lack of positive news from the macroeconomic front, negatively impacted the market.

Wintermute analysts also noted that the percentage of supply held at a loss is approaching the 50% level. The firm pointed out that at the last low point in past cycles, the loss-of-supply was close to 60%, historically occurring two to three quarters before the actual market bottom. This suggests there is still room for further decline.

Wintermute concluded that a bottoming out during the low-volume summer months is unlikely and investors should monitor continued weakness into September-October, with any subsequent recovery depending on the slowdown in the rise of AI and changes in the macroeconomic environment.

Variables to watch at this point include the US employment report, Bitcoin’s 200-week moving average and whether the $58,000 level will be held, and STRC’s trading flow.

*This is not investment advice.

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