Researcher from Analysis Company Said "I'm Not Buying Right Now" Despite the Decline in Bitcoin and Explained the Reason!

Cryptocurrency analysis firm Alphractal has issued a statement announcing its decision to avoid buying Bitcoin even during a market downturn.

The company stated the three main reasons for its cautious approach, emphasizing the importance of waiting for clearer market signals before making significant investments.

"ETF Entries Do Not Ensure Long-Term Growth"

Alphractal pointed out that the anticipated impact of Bitcoin Exchange Traded Funds (ETFs) is exaggerated in the short term. Referring to historical data, the company noted that over 1 million BTC were accumulated during a consolidation phase in 2022, but this did not translate into price increases. According to Alphractal, 'Significant price rallies occur only when large investors actively intervene in the market.'

“Market Sensitivity Rose Very Rapidly”

The company also voiced concerns about the excessive optimism among investors who predict that the price of Bitcoin will reach $130,000 to $150,000. Alphractal argued that the market has not undergone a sufficient cooling period, which is typically necessary to establish a sustainable upward trend, following significant corrections. The company stated, 'Quick recoveries without a sense of deeper decline cannot usually lay the groundwork for lasting trends.'

'Fractal Patterns and Whale Behavior'

Alphractal noted similarities between observed market patterns in December 2023 and the formation and subsequent breakdown of a parallel channel. However, he also emphasized an important difference: Whale behavior. Unlike past scenarios where whales aggressively defended critical price levels, current inactivity raises doubts about the sustainability of recent price movements, according to the analysis firm.

Alphractal, while acknowledging the possibility of buying Bitcoin at a higher price later, firmly stated that it is not the time to buy for now. The company said, "It is essential to wait for clearer trend signals."