Samson Mow, CEO of Bitcoin technology firm Jan3, has suggested that recent predictions of Bitcoin’s price dropping to $40,000 might be more about fear than real market analysis. According to Mow, some bearish forecasts predicting a decline to $0.04 million lack solid evidence and are primarily driven by market anxiety rather than technical fundamentals.
Mow notes that it has the same possibility of soaring to $100,000, a narrative that supports the development of the leading cryptocurrency. In support of this optimistic perspective, he lists several features, such as significant daily debt servicing by the U.S. government, which creates output risk and potentially benefits from assets like Bitcoin. Furthermore, the strategic accumulation of Bitcoin, pension funds invested in cryptocurrency, and corporations buying more Bitcoin enhance the probability of a price hike.
Mow Points to Macro Factors for Bitcoin Surge Despite Current Fear
For the past week, Bitcoin’s price has been below $60,000. However, employing recent statistics as the benchmark, Mow is still convinced that cryptocurrency could easily hit six figures. As to components that may underpin such a price increase, he names macroeconomic factors and steadily increasing institutional investment in the segment.
Currently, the Crypto Fear & Greed Index stands at “Extreme Fear,” which implies that investors are more on the fear side at 23. This has amplified the fear, which is an expectation of a possible bearish run below $50,000 in the future.
On the other hand, the CEO of BitMEX, Arthur Hayes, recently shared his bearish sentiments about it on social media. Hayes said that he expects the bitcoin price to be below $50,000 at some point over the weekend, and as such, he has bet against it. He jokingly called it a risky move and requested support from the followers.
Ultimately, fear and optimism are influential in setting market expectations, although disagreement is prevalent regarding Bitcoin’s future price movement. These dynamics are of significant interest among analysts and other market players operating in the highly unpredictable world of cryptocurrencies.
