📰 Just said miners were bullish on BTC at $100K—now suddenly says Fed risks are being underestimated
Just a couple of days ago, some analysts thought BTC could easily reach $100K. Now, an analyst at Bitget Wallet says Bitcoin may not have fully priced in the risks of prolonged Fed rate hikes, suggesting market sentiment may be a little too optimistic. This has a direct bearing on how we understand volatility in BTC and ETH, especially for those who bought in at higher prices.
Why does this news matter?
The underlying reason is that crypto markets often underestimate risks in traditional finance. Fed rate hikes are an obvious risk, but markets are always looking for reasons to be optimistic. The analyst’s view that BTC may not have fully reflected the risks suggests that investors may have forgotten what markets were like before last year’s LTCM crisis. This is largely unrelated to other recent events and is an independent view, but it could deepen the divide in market risk appetite.
Market impact
The impact on BTC/ETH prices is more likely to come from short-term pressure on sentiment. South Korea, for example, is one of the world’s most active crypto markets. If local investors pull out of BTC as they reassess Fed risks, that would directly add to selling pressure. Over the longer term, however, BTC will remain supported as long as ETF inflows continue. Historically, during similar events—such as the 2018 rate-hiking cycle—the costs of liquidations ultimately weighed on the crypto market.
Trading approach
For now, this view suggests that BTC at $82,841.78 could come under pressure, while ETH at $2,485.99 may be relatively less affected. In short, Fed risks have not been fully priced in, but ETF inflows are still supporting the broader market. If ETF inflows suddenly stop, this assessment no longer holds.
Author disclosure
This article is not sponsored by any project, and the author does not hold any of the assets mentioned.
⚠️ This is not investment advice. Forecasts are for reference only.
#BitcoinNews|OverHalfofBitcoinSupplySitsinUnattributedAddresses
Just a couple of days ago, some analysts thought BTC could easily reach $100K. Now, an analyst at Bitget Wallet says Bitcoin may not have fully priced in the risks of prolonged Fed rate hikes, suggesting market sentiment may be a little too optimistic. This has a direct bearing on how we understand volatility in BTC and ETH, especially for those who bought in at higher prices.
Why does this news matter?
The underlying reason is that crypto markets often underestimate risks in traditional finance. Fed rate hikes are an obvious risk, but markets are always looking for reasons to be optimistic. The analyst’s view that BTC may not have fully reflected the risks suggests that investors may have forgotten what markets were like before last year’s LTCM crisis. This is largely unrelated to other recent events and is an independent view, but it could deepen the divide in market risk appetite.
Market impact
The impact on BTC/ETH prices is more likely to come from short-term pressure on sentiment. South Korea, for example, is one of the world’s most active crypto markets. If local investors pull out of BTC as they reassess Fed risks, that would directly add to selling pressure. Over the longer term, however, BTC will remain supported as long as ETF inflows continue. Historically, during similar events—such as the 2018 rate-hiking cycle—the costs of liquidations ultimately weighed on the crypto market.
Trading approach
For now, this view suggests that BTC at $82,841.78 could come under pressure, while ETH at $2,485.99 may be relatively less affected. In short, Fed risks have not been fully priced in, but ETF inflows are still supporting the broader market. If ETF inflows suddenly stop, this assessment no longer holds.
Author disclosure
This article is not sponsored by any project, and the author does not hold any of the assets mentioned.
⚠️ This is not investment advice. Forecasts are for reference only.
#BitcoinNews|OverHalfofBitcoinSupplySitsinUnattributedAddresses