Bitcoin’s plunge is attracting bullish investors eager for bargains.
It “seems like a no-brainer to be bidding this area,” said Quinn Thompson, founder of Lekker Capital, a hedge fund that specialises in using macroeconomic data to trade crypto assets.
Bitcoin plunged this week as jitters about Iran’s attack on Israel and the outlook for the US economy weigh on markets. The price is hovering just above $60,000.
Thompson posted the comments on X, above a Bitcoin chart that analysed the cryptocurrency’s price since March.
The chart shows “clear invalidation on the back of a 180-degree shift in the macro backdrop from the relative to the three previous similar setups,” he said, referring to technical analysis of Bitcoin’s moving average.
Thompson told DL News in August that a recent shift in the outlook for the US election is also affecting Bitcoin’s price.
Kamala Harris and Donald Trump are now closer in polls than her predecessor, President Joe Biden.
“That ambiguity is making people weigh other factors that influence Bitcoin’s price, like growth, recession concerns, the Federal Reserve, and liquidity in the system,” Thompson said then.
I don't usually give very short-term views, but seems like a no-brainer to be bidding this area with clear invalidation on the back of a 180 degree shift in the macro backdrop from the relative to the 3 previous similar setups. https://t.co/NzqUSEvKbg pic.twitter.com/1PlviEyf5o
— Quinn Thompson (@qthomp) October 3, 2024
Crypto market movers
Bitcoin dropped by 0.8% over the past 24 hours to about $60,896.
Ethereum dropped 4.1% over the same period to $2,359.
What we’re reading
Three OpenSea execs quit in last three months as troubles mount for NFT marketplace — DL News
Ouch! $BTC took a dive (where to from here?) — Milk Road
Be careful investing in tokens w/ incentivized revenue — Milk Road
Why Bitwise’s new XRP ETF filing is a bet on Trump election win — DL News
