The SEC’s approval of 11 spot Bitcoin ETFs in the US has increased volatility in the largest cryptocurrency. Crypto analyst and trader Kevin Svenson shared his predictions for Bitcoin’s (BTC) future in the coming weeks and months.
Svenson told his YouTube subscribers that the S&P 500, an index tracking the stock performance of the top 500 US-listed companies, has historically been a leading indicator for Bitcoin’s peak levels. He emphasized the S&P 500’s role as a guide for Bitcoin’s trajectory.
He noted that the S&P 500 consistently reached all-time highs before Bitcoin, suggesting a positive sign as Bitcoin is still 40% below its peak while the S&P 500 is near its all-time high. He referenced the seven-month lag between the S&P 500’s peak in 2016 and Bitcoin’s subsequent all-time high, as well as the four-month gap in 2020 following the third block reward halving.
On Wall Street, the S&P 500 index finished January 19 at an all-time high, driven by a rally in technology stocks and optimism surrounding the ongoing AI boom. The index surpassed 4,800 points for the first time in two years.
Svenson speculated that Bitcoin could reach its all-time high in less than six months if the S&P 500 continues breaking records, suggesting the possibility of entering a bull market soon, as historical patterns indicate.