Bitcoin (BTC) is currently under pressure from macro risks and a retracement below $90,000 represents a “medium-term” buying opportunity, according to Jeffrey Kendrick, head of digital asset research at Standard Chartered. It is said that
In a Jan. 14 research note, Kendrick emphasized the value of strategic accumulation despite continued market turmoil. He added that prices below key support could be a favorable entry point as lenders' long-term forecasts for Bitcoin remain unchanged.
Kendrick said:
“If we can break below that ($90,000 could see us into the low-$80,000s if things go right), we would view it as a good medium-term buying opportunity.”
macro risk
Bitcoin is currently trading near $90,000, with several macro developments including expected US CPI data and heightened expectations for President Donald Trump's policy announcements ahead of his January 20th inauguration. Facing pressure from economic factors.
Analysts are divided on whether the inauguration will be a marketing event that could worsen the current economic downturn. However, few doubt that a sustained period below $90,000 could lead to further declines, potentially testing the $80,000 level.
Furthermore, ETF unwinding is also a big concern, with Kendrick noting that the average Bitcoin purchase price for spot ETFs and MicroStrategy holdings since the US presidential election is around $94,000.
A fall below this threshold could trigger further declines and increase the overall volatility of digital assets. He explained:
“Convexity risk remains high and the market could face cascading pressures if the $90,000 level cannot be sustained.”
long term optimism
Despite the short-term risks, Standard Chartered reaffirmed its previous forecast and reaffirmed its long-term price target for Bitcoin at $200,000 by the end of 2025.
This forecast is supported by expectations for strong institutional investor capital inflows and favorable economic policies under the new US administration.
Meanwhile, Standard Chartered advised investors to adopt a cautious approach in the short term while monitoring strategic buying opportunities.
For now, Bitcoin has managed to stay firmly above the $90,000 level. At the time of writing, the flagship cryptocurrency was trading at $96,593, based on CryptoSlate data.
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