In the recent video crypto investor and analyst Lark Davis shares his perspective on whether Bitcoin (BTC) will plunge to $15,000 or meteorically rise to $600,000 based on on-chain indicators.
Bitcoin Manipulation
According to the trader, in these recent volatile periods, Bitcoin is becoming a game played by “big money funds”. He brings an example of Guggenheim’s Scott Minerd who says Bitcoin could sink to $15,000. Yet, back to February, the now-bearish Minerd said BTC could climb as high as $600,000.
“You really have to look at the behavior because that’s what’s really interesting. At the end of the day, the market’s going to do what the market’s going to do. No one can fully control the markets but they can certainly make a pretty good attempt at pushing it in one direction or the other. And these weeks of non-stop fud have definitely had their effect on regular investors in the market”.
He adds:
“And so when we are lower when bitcoin’s already down massively, they start bringing out all the stories: bitcoin is going to drop another 50, sell now. That’s the message from these guys, these institutional players. And yet when bitcoins at $50,000, they saying bitcoin’s gonna go to $600,000. By now they are selling uh into strength and they are buying into weakness”.
Not only Guggenheim, but the trader also points out that JP Morgan is also trying to fud BTC and calling for a lower low.
“Their attempts to shake you out of your coins is so obvious”.
Bitcoin Numbers You Need To Know
The analyst then shows an Aggregated Funding Rate chart, commenting that the current bear market is, from a BTC funding perspective, even more, extreme than the Mar-Apr 2020 bear market (i.e. derivatives traders more bearish now than then).
The trader continues to analyze the current situation through Bitcoin long-term holder net position changes chart.
“If you’re scared, just remember what the Bitcoin long-term holders are doing right now. Don’t let the vola flush you out, think long term”.
As Davis says, Bitcoin long-term holders are accumulating their BTC.
“We did have long-term holders selling into the first major rally. They did sell a bit once bitcoin got up to around sixty thousand dollars. After that their selling really slowed down and what’s interesting is that around 65,000, long-term holders started to accumulate again”.
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