Tom Lee Finds Inspiration in MagicPoopCannon 101
Tom Lee. Source: a video screenshot.

After the crypto market exploded last Friday, Tom Lee, the well-known Bitcoin bull and head of analysis at Fundstrat Global Advisors, shared some optimistic insights concerning the bitcoin worth.

First, on Sunday, Lee referred to a technical evaluation by a TradingView, a social community for merchants, person MagicPoopCannon, for example of an analyst who has beforehand been bearish on bitcoin, however is now turning bullish, arguing that shifting common strains at the moment are setting as much as type strong help for the worth of bitcoin.

However, opinions are blended on how a lot emphasis ought to be positioned on the evaluation Lee shared:

Also, not everybody on TradingView agrees with the evaluation.

“Remember, on higher time frames trend is your friend and calling this the “bottom” is totally unprofessional as there isn’t a option to know that for a minimum of a pair months of retesting. Wanting to garner likes by stating that that is it simply makes newer merchants lose cash and I’m not into that. Risk mitigation continues to be a precedence so long as the worth is below USD 4400 on the very least,” dealer Reparation responded.

Also, final week, Fundstrat Global Advisors strategist Robert Sluymer mentioned that cryptocurrencies are on monitor to retest their fourth-quarter lows in a weak technical place. A proprietary gauge of market breadth in the area reveals smaller cash are most in danger, he added. According to Sluymer, a break beneath USD three,100 would indicate a decline to USD 2,270, whereas a transfer above USD four,200 is required to sign Bitcoin is starting to enhance.

Fundstrat’s 2019 Outlook on Crypto

Prior to the dialogue about MagicPoopCannon’s evaluation, Fundstrat revealed its 2019 Outlook report for the cryptocurrency market. According to excerpts of the report, the agency admits that 2018 was a disappointing yr for crypto, whereas additionally including that they anticipate the market to stage “a visible recovery” in 2019.

According to the agency, there at the moment are “9 incremental improvements in the landscape” which will help larger crypto costs going ahead, as seen in the desk beneath:

Tom Lee Finds Inspiration in MagicPoopCannon 102
Source: Fundstrat

Although a few of these developments can actually be noticed by anybody, others are vaguer or are pure hypothesis. Among the extra speculative claims are for instance the declare that the bitcoin worth will cross its 200-day shifting common line by year-end 2019, and that we are going to see a weakening of the US greenback this yr that can profit the BTC/USD change price.

This just isn’t the primary time Tom Lee has come out with lofty worth predictions for the primary cryptocurrency, which in some ways has haunted him all through the 2018 bear market. Despite that, Lee reaffirmed his view that USD 25,000 is a “fair value for bitcoin” in a latest interview with Fox Business.

“Strangely, I just think that’s a good, fair value for Bitcoin, but the timing of that is going to be difficult […],” he mentioned on the time.

Meanhwile, Brian Stutland, the Chief Technology Officer at Equity Armor Investments, advised CNBC on Friday (watch the entire section beneath) that the latest rally might be a starting of an even bigger rally.

“Because once you take a look at the truth that if we transfer Bitcoin into an ETF, now portfolio managers which might be on the market can truly allocate to Bitcoin in their fashions and put that some kind of weighting in their holdings in phrases of what individuals wish to maintain in phrases of funding worth,” he defined.

Bitcoin futures spike, here’s what traders think it means from CNBC.

Also, Mati Greenspan, senior market analyst at cryptocurrency change eToro, tweeted:

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