According to the businessman, the current price range for $BTC is hardly considered the bottom of the market, which means that the quotes for the first cryptocurrency may continue to decline:
“A situation is forming now where a short-term rise creates the illusion of the beginning of a sustainable upward trend. Such dynamics may persist until the end of April.”
Wu called his forecast based primarily on liquidity analysis rather than price changes. Everything can change if a significant amount of liquidity returns to the market and long-term investors become active, he added.
“If capital fully returns and new long-term market participants appear, I will be ready to reconsider my position and forecast,” said the entrepreneur.
According to him, after sharp drops, the price of Bitcoin often enters a sideways movement phase, and then the market tests resistance levels before the next major movement — this is exactly what is happening now.
Earlier, co-founder and former CEO of the cryptocurrency exchange BitMEX, Arthur Hayes, stated that the recent rise of Bitcoin above $70,000 does not mean a shift from a bear trend to a bull trend, and the quotes of the first cryptocurrency may go down again.