Crypto Strategist Warns of Brutal Bear Winter for Bitcoin Due to Selling Pressure from Treasury Companies
A well-known crypto strategist, who accurately predicted the 2022 Bitcoin bottom, is now sounding the alarm about a potential bear market that could be triggered by Bitcoin treasury companies. These companies, which hold a significant amount of BTC, are seen as a looming source of selling pressure that could lead to a sharp downturn in the market.
Bitcoin Treasury Holdings Reach Over $117 Billion
According to data from BitcoinTreasuries, private and public companies worldwide currently hold 1,112,904 BTC, with a total value exceeding $117.445 billion. The sheer size of these holdings has raised concerns among analysts like DonAlt, who believe that the selling pressure from these treasury companies could spark a brutal bear market for Bitcoin.
Predictions of a Devastating Bear Market
DonAlt, who has a large following on social media, predicts that the next Bitcoin bear market could be as severe as the one experienced in 2018, when BTC plummeted from $20,000 to $3,000. He suggests that a 70-80% decline from the market top could be on the horizon, leading to significant losses for investors.
Current Market Outlook
Despite his bearish long-term view, DonAlt remains optimistic about Bitcoin in the short term. He warns of a possible correction if Bitcoin falls below a key support level, which could trigger an 11% drop from current levels. As of now, Bitcoin is trading at $105,438, with investors closely monitoring its price movements.
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