Bitcoin is the Prometheus from Greek Mythology While Astrology Calls for a ‘Big Correction’ Ahead
While the biggest publicly traded hedge fund takes the help of mythology to explain why Bitcoin isn't a bubble, stars are predicting a “bullish” May but not before another buy the dip opportunity.
The week started on a red note that saw us going down to $30,000, and now heading towards the weekend, the market has already pumped past $39,700. Were now reaching for the all-time high of $42,000 hit last Friday. BTC 2.70% Bitcoin / USD BTCUSD $ 65,884.50
$1,778.882.70% Volume 40.85 b Change $1,778.88 Open $65,884.50 Circulating 18.85 m Market Cap 1.24 t 3 h El Salvador Central Bank President Only Sees 'Upside Risks' with Bitcoin, Expects Volatility to Help Economy Expand 7 h Chainalysis is Seeking Other Cryptocurrencies for Investment After Adding Bitcoin to Its Balance Sheet 8 h Grayscale Kickstarts SEC Review of its Spot Bitcoin ETF (‘BTC’) Application
This has been despite the US Dollar gaining strength and keeping strongly above 90.
The dollar is extending its rebound from about three-year lows supported by higher US yields, which are back above 1%, for the first time since March.
This has been thanks to President-elect Joe Biden’s plans for massive fiscal stimulus. While Goldman Sachs said it expects Biden admin to unveil a “modest” 750 billion fiscal stimulus plan, however, CNN reported that the package is expected to be around $2 trillion. One lawmaker told CNN that the Biden team is taking a “shoot for the moon” approach with the package, but the numbers could still change.
In the longer-term, stimulus support could weigh on the greenback, which has Shusuke Yamada, chief Japan FX strategist at Bank of America in Tokyo, “focusing on gradual dollar weakness in 2021.” This spells good for BTC, which has an inverse relationship with USD.
As for the pullback, people bought the dips aggressively. However, according to trader Jonny Moe, this puts BTC on track for another drop to $26k before making its way to the moon.
The current low tf ascending triangle should pop us up back to retest the highs, keeping this squiggle idea on track.
Yes, we can blow right through to new highs, but do yourself a favor and keep this option in the back of your minds.
Be bullish, with caution. https://t.co/MDOLUzAI8R
— Jonny Moe (@JonnyMoeTrades) January 13, 2021
Mythology & Astrology
The world’s biggest publicly traded hedge fund, Man Group, meanwhile compares Bitcoin to Prometheus in Greek mythology — the god of fire had his liver eaten by an eagle only to be regrown every day.
“Every time a Bitcoin bubble bursts, another grows back to replace it,” Man Group’s analysts wrote in a note dated Jan. 12. “This very frequency makes the Bitcoin narrative somewhat atypical relative to the great bubbles of the past.”
Man Group Analyst
“Instead of considering each individual spike and fall as a discrete bubble, there may be more merit in the argument that this volatility is simply part of the price discovery in a new asset class and that these are not bubbles but part of a not-so-random walk that will eventually dwindle to give Bitcoin more stability, and ultimately, legitimacy.”
While some are trying to find meaning in Greek mythology, some have taken to astrology.
New York-based Maren Altman has built a 1 million social media following on TikTok with her celestial guidance. Last week, the 22-year old told her followers to watch for a correction because Saturn was going to cross Mercury.
This time, stars predict favorable movement “at the end of the month and especially February and early March,” with a “big correction” in mid-March. While mid-April is less optimistic, May is bullish, said Altman, who bases BTC’s astrology charts on the date of Bitcoin’s genesis block.