Bitcoin Bottoming? Analyst Sees $90K Potential
Bitcoin Price Rebound: A Bullish Outlook?
According to 10x Research founder Markus Thielen, Bitcoin may have reached its bottom and could surge towards $90,000. This prediction follows President Trump's indication of tariff flexibility and the Federal Reserve's resistance to short-term inflationary pressures.
Thielen highlights Trump's shift towards a more flexible approach to tariffs as a key supportive factor. The Federal Reserve's decision to look beyond short-term inflation, as stated in their March 18-19 meeting, also contributes to this positive outlook. This "mildly dovish tone," as Thielen describes it, suggests continued support for stock market recovery, which often correlates with cryptocurrency performance.
Technical Indicators Suggest Reversal
10x Research's Bitcoin reversal indicators have turned bullish. Bitcoin's 21-day moving average currently sits at $85,200. Thielen points out that these indicators have retreated to levels previously seen before past bull market resumes, such as in September 2023 (driven by Bitcoin ETF narratives) and August 2024 (leading up to the US election).
The analyst believes that this technical reset creates the conditions for a renewed uptrend. He emphasizes that several altcoins are already breaking out of their downtrend channels, trading at more attractive levels.
- Ether (ETH): Up 4.3% over the last week
- Tron (TRX): Up 6.4% over the last week
- Avalanche (AVAX): Up 8.9% over the last week
At the time of writing, Bitcoin is trading at $85,720, a 2.1% increase in the last 24 hours (according to CoinGecko).
Challenges and Cautions
While the outlook is positive, Thielen anticipates significant resistance around $90,000. He cautions that there's no clear catalyst for an immediate, dramatic price surge. His previous prediction that Bitcoin would remain above $73,000, avoiding a deep bear market, was based on the long-term holdings of major Bitcoin holders (wallets with 100-1000 Bitcoin), which he believes are predominantly family offices and wealth managers.
Furthermore, the return of inflows into US-based spot Bitcoin ETFs last week (after a period of outflows), indicates a potential shift in market sentiment. Thielen believes arbitrage opportunities that fueled previous ETF selling have mostly subsided.
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