Bitcoin Price 22% Gain is Not a Sign of a Bull Market: Brian Kelly
Brian Kelly is cautioning against expectations of a prolonged bull run as the bitcoin price gains more than 20% since the start of 2020. Meanwhile, crypto tokens continue to experience massive price increases with the total market capitalization adding about $20 billion in the last 24-hour trading period.
Bitcoin Price Leading Fundamentals
CNBC’s resident ‘crypto expert’ says the current bitcoin price gain might not indicate the start of a length upward price push. Appearing on CNBC’s Fast Money on Tuesday (January 14, 2020), the CEO of crypto trading firm BKCM said he wouldn’t call the current price rally a “comeback” for the top-ranked crypto.
Bitcoin to the moon? The cryptocurrency is taking off again! pic.twitter.com/NlrB2BP1uT
— CNBC's Fast Money (@CNBCFastMoney) January 14, 2020
Instead, Kelly opined that the current bitcoin price push is a continuation of its 2019 performance. Last year, the bitcoin price gained over 80% making it the best-performing asset for 2019.
However, Kelly observed that the 2020 bitcoin price push is leading the growth in market fundamentals, especially regarding address growth. According to the BKCM chief, bitcoin price action lagged the address growth back in 2019.
Commenting on the change in 2020, Kelly remarked:
When an asset goes straight up, that means a lot of the news is ‘priced in.’ I think there is huge upside for bitcoin, maybe just not tomorrow.
As previously reported by Bitcoinist, the bitcoin price momentum is currently driving growth across the market. However, the top-ranked crypto has been unable to stay above the $8,800 resistance level thus preventing any push towards the $10,000 milestone.
Kelly isn’t alone in forecasting a near-term bearish performance for bitcoin. Back in December 2019, veteran commodity trader Peter Brandt predicted that the BTC was on course to reach $100,000 but the path to that milestone might involve a period of significant price drops.
Crypto Market High Continues
The altcoin market is also experiencing a significant price growth with several tokens seeing massive price gains over the last 24 hours. Bitcoin SV is up more than 70% on the back of the news coming out of the Kleiman v. CSW legal tussle.
The surge in BSV has seen the altcoin reach number four on the market capitalization rankings ahead of Bitcoin Cash. Apart from BSV, Ethereum and XRP have also seen significant price gains with the latter climbing above the $0.23 mark for the first time since late November 2019.
Do you think the bitcoin price will experience a bearish downward push in the near-term? Let us know in the comments below.