{"id":9941,"date":"2023-01-23T08:20:55","date_gmt":"2023-01-23T08:20:55","guid":{"rendered":"https:\/\/cryptoheretostay.com\/?p=9941"},"modified":"2023-01-23T08:20:55","modified_gmt":"2023-01-23T08:20:55","slug":"breakthrough-or-bull-trap-pundits-weigh-in","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=9941","title":{"rendered":"Breakthrough or bull trap? Pundits weigh in"},"content":{"rendered":"<script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script>\n<p>While Bitcoin (BTC) has experienced a strong price pump to kick off the new year, many industry pundits are not convinced the cryptocurrency will continue its upward trajectory \u2014 at least in the short to mid-term.\u00a0<\/p>\n<p>The impressive price surge \u2014 which saw BTC experience 14 days of consecutive price increases earlier this month \u2014 has called on many to consider whether the surge marks a significant \u201cbreakthrough\u201d or is indicative of a \u201cbull trap.&#8221;<\/p>\n<p>Speaking to Cointelegraph on Jan. 23, James Edwards, a cryptocurrency analyst at Australian-based fintech firm Finder said the argument for a \u201cbull trap\u201d is stronger, warning the recent surge could be \u201cshort-lived.\u201d<\/p>\n<p>He stated that while the BTC price moved upwards over the weekend, the NASDAQ Composite and the S&amp;P 500 also made similar rallies:<\/p>\n<p>&#8220;This suggests to me that the rally in crypto is not unique, and instead part of a wider market uplift as inflation figures stall and a risk-on appetite appears to return to investments. So Bitcoin is just enjoying the effects of positive sentiment that originated elsewhere. This is likely to be short-lived.\u201d<\/p>\n<p>Edwards added that cryptocurrency markets still have some \u201csignificant hurdles to clear before a new bull market can begin.\u201d<\/p>\n<p>Among those obstacles, he mentioned include the continued fallout over\u00a0FTX\u2019s collapse and the recent Chapter 11 filing by Genesis on Jan. 19. <\/p>\n<p>&#8220;As such, we&#8217;re going to see further sell-offs and downsizing as crypto firms adjust their balance sheets and dump tokens onto the market to cover debt and try to stay afloat,\u201d he explained.<\/p>\n<p>In a statement to Cointelegraph, Bloomberg Intelligence Senior Commodity Strategist Mike McGlone wasn\u2019t confident in the BTC price trajectory either, citing recessionary-like macroeconomic conditions as too big of a barrier for BTC to overcome.<\/p>\n<p>\u201cWith the world leaning into recession and most central banks tightening, I think the macroeconomic ebbing tide is still the primary headwind for Bitcoin and crypto prices.\u201d<\/p>\n<p>The sentiment was also shared among some on Crypto Twitter, with cryptocurrency analyst and swing trader \u201cCapo of Crypto\u201d telling his 710,000 Twitter followers on Jan. 21 that BTC\u2019s push past resistance looks like \u201cthe biggest bull trap\u201d he has ever seen:<\/p>\n<p lang=\"en\" dir=\"ltr\">I&#8217;ve been checking charts all this time, avoiding noise from Twitter. The way the upward movement is happening, the way htf resistances are being tested&#8230; it clearly looks manipulated, no real demand.<\/p>\n<p>Once again, the biggest bull trap I&#8217;ve ever seen. But they won&#8217;t trap me.<\/p>\n<p>\u2014 il Capo Of Crypto (@CryptoCapo_) January 21, 2023<\/p>\n<p>However, not all industry pundits were as bearish. <\/p>\n<p>Cryptocurrency market analysis platform IncomeSharks appeared bullish, having shared a \u201cWall St. Cheat Sheet\u201d chart to its 379,300 Twitter followers on Jan. 22 making a mockery of the \u201cBears\u201d who think the latest price movements are indicative of a \u201cbull trap.\u201d<\/p>\n<p lang=\"en\" dir=\"ltr\">#Bears at the Denial stage. &#8220;It&#8217;s just a bull trap&#8221; &#8220;It&#8217;s all manipulation&#8221;. Waiting for the Panic part next&#8230; pic.twitter.com\/Lo6nWyZPD2<\/p>\n<p>\u2014 IncomeSharks (@IncomeSharks) January 22, 2023<\/p>\n<p>Sem Agterberg, the CEO and co-founder of AI-based trading bot CryptoSea also recently shared a flood of posts expressing positive sentiment towards BTC price action to his 431,700 Twitter followers, suggesting that a \u201cBULL FLAG BREAKOUT\u201d towards $25,000 may soon be on the cards:<\/p>\n<p>Meanwhile, others have refrained from making a forecast on the price, likely given the unpredictability of crypto markets.<\/p>\n<p lang=\"en\" dir=\"ltr\">Here&#8217;s my technical analysis of where Bitcoin&#8217;s price is going. pic.twitter.com\/cOFueErgGq<\/p>\n<p>\u2014 Dan Held (@danheld) January 21, 2023<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Bitcoin price consolidation opens the door for APE, MANA, AAVE and FIL to move higher<\/em><\/strong><\/p>\n<p>Bitcoin (BTC) is currently priced at $22,738, while the Bitcoin Fear and Greed Index is currently at \u201cNeutral\u201d with a score of 50 out of 100, according\u00a0to Alternative.me. <\/p>\n<p>The cryptocurrency managed to break out of the \u201cFear\u201d zone on Jan. 13 \u2014 which was then scored at 31 \u2014 after the BTC price increased for seven consecutive days.<\/p>\n<p><em>Market sentiment of Bitcoin expressed on a 0-100 \u201cFear &amp; Greed Index\u201d scale. Source: <\/em><em>Alternative.me.<\/em><\/p>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cointelegraph.com\/news\/bitcoin-price-surge-breakthrough-or-bull-trap-pundits-weigh-in\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>While Bitcoin (BTC) has experienced a strong price pump to kick off the new year, many industry pundits are not convinced the cryptocurrency will continue its upward trajectory \u2014 at least in the short to mid-term.\u00a0 The impressive price surge \u2014 which saw BTC experience 14 days of consecutive price increases earlier this month \u2014 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":9942,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[2],"tags":[],"class_list":["post-9941","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9941","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9941"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9941\/revisions"}],"predecessor-version":[{"id":9943,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/9941\/revisions\/9943"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/9942"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9941"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9941"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9941"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}