As the cryptocurrency market continues to surge and investors maintain optimism, a notable claim has been made by an investor known as Capo of Crypto. Despite holding onto a $12,000 Bitcoin price target throughout the year, Capo suggests that Bitcoin, Ethereum, and other crypto assets are poised for new lows, despite the recent market upswing. In a recent post, the trader declared the end of the current bull market.
According to TradingView data, Bitcoin has seen a 163% increase since the beginning of the year, and Ethereum is up by 92%. However, Il Capo of Crypto remains skeptical, predicting an impending crash. He reiterated his previous analysis to his Telegram channel subscribers, suggesting that the BTC/USD pair has likely formed a local top between $40,000 and $45,000 and warned of a potential full reversal to new lows in the coming weeks.
Il Capo of Crypto’s bearish prediction coincides with a significant time for Bitcoin as the United States is on the verge of approving its first Bitcoin spot price exchange-traded fund (ETF). This move is expected to mark a historical moment for Bitcoin, introducing it to institutional capital on a large scale for the first time.
In the meantime, a $48,000 Bitcoin price target remains a popular discussion point, with the decision on the ETF expected by January 10th at the latest. Last November, Il Capo of Crypto had already announced the beginning of the end, noting that prices were higher than expected, but the market was extremely overextended and sentiment was overly bullish, indicating a significant correction was on the horizon.
Other experts, along with Capo of Crypto, agree that a significant correction would be a healthy factor for a bull market. QCP Capital, in its latest market update for 2023, suggested that such a scenario could follow the ETF approval. They expect an initial underwhelming real demand for the BTC Spot ETF, leading to a classic “sell the news” scenario in the second week of January and a potential pullback to the $36,000 level for Bitcoin before the continuation of the uptrend.
As the market positions itself for a strong rally towards the Bitcoin Halving event, experts are confident that the uptrend will eventually resume, despite the anticipated corrections.