Gareth Soloway, a renowned charting expert, unveils the next potential milestone for Bitcoin as its price skyrockets by an impressive 100% year-to-date.
Bitcoin has experienced a significant rally in recent weeks, causing bullish sentiment to surge. Gareth Soloway, Chief Market Strategist at InTheMoneyStocks.com and President of VerifiedInvesting.com, analyzes the potential for Bitcoin’s rally to continue.
At its peak this week, Bitcoin reached over $35,000, the highest level in 17 months. This rally has been driven by optimism surrounding the approval of a spot Bitcoin ETF within the next four months. However, Soloway warns that once the approval is officially granted, there may be a sell-off or a pause in the price as some traders take profits off the table.
Soloway predicts that approval for a spot Bitcoin ETF may not come until the end of this year or early 2024. If Bitcoin’s price remains high at that time, he believes it may already be factoring in the approval and could experience a sell-off.
The maximum upside for Bitcoin in this bull run, according to Soloway, is $47,000, which he identifies as the next resistance level. He suggests that institutional buyers may have already accumulated Bitcoin in anticipation of the approval, potentially limiting the number of buyers for the spot ETF.
Looking ahead to 2024, Soloway projects a recession and a potential stock market selloff of 35%. He does not rule out the possibility of Bitcoin dropping to the $15,000 level, especially if panic sets in among Bitcoin holders who also have significant stock portfolios.
In terms of his macro outlook, Soloway expresses concern about unsustainable debt levels and rising interest rates that could trigger bank collapses. He believes a recession in the first quarter of 2024 is inevitable, with the banking sector appearing particularly risky.
On a positive note, Soloway is bullish on gold and expects a new all-time high to be reached. He emphasizes the importance of following central banks’ actions, as they often indicate the need to invest in gold.
It’s important to note that the views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The information provided is for informational purposes only and does not constitute financial advice.
Overall, Soloway’s analysis offers valuable insights into the current state of the Bitcoin market and the potential challenges and opportunities that lie ahead.
