Bitcoin Could Fall Back to Mid-$20K Area, Warns Chris Burniske

Bitcoin (BTC) has yet to hit its local bottom, according to Chris Burniske, a partner at venture capital firm Placeholder and former crypto lead at Ark Invest. Burniske predicts that the price of Bitcoin could drop to at least the $30,000-$36,000 range, and he wouldn’t be surprised if it tested the mid-high $20,000 area before eventually moving towards a new all-time high.

Burniske advises investors to exercise patience, as he believes that the path to reaching a new all-time high will be volatile and could take several months to play out. While he acknowledges that the long-term trend for Bitcoin remains robust, he also points out that recent market movements have shown signs of weakness. Burniske states that the market looks precarious on multiple levels, and although new product innovations are on the horizon, they are not quite there yet.

Bitcoin recently experienced a significant drop, falling nearly 20% to under $40,000 following the opening of spot Bitcoin ETFs for trade on January 11. However, the cryptocurrency saw a 5% rally on Friday, bringing the price back up to $41,700 at the time of writing.

Burniske clarifies that he is not completely de-risking his investments but rather taking a cautious approach by assessing his options and staying prepared. He emphasizes the need for investors to remain vigilant and adapt to the market’s volatility.

The article concludes by highlighting the source of the information, Coindesk, a reputable platform for cryptocurrency news. The article was published on January 26, 2024, and provides valuable insights into the current state of the crypto market, specifically Bitcoin, as well as the predictions and advice of Chris Burniske.