Crypto Market Bottom? Analyst Predicts a Monday Rebound

Macro analyst Alex Krüger believes the recent crypto market sell-off mirrors the 2024 August crash, suggesting a potential tradable low. He points to a confluence of factors: a modestly hawkish Fed, mixed Big Tech earnings (with Amazon’s poor performance standing out), and a worse-than-expected US payrolls report, all contributing to a risk-off sentiment that impacted both equities and crypto. Krüger highlights the correlation between crypto’s movement and equity indices, emphasizing the macro influence over specific crypto narratives. While acknowledging negative factors like disappointing Coinbase results and uncertainty around MicroStrategy’s BTC purchases, he views the SEC’s “Project Crypto” as a positive long-term development. He dismisses the geopolitical noise surrounding nuclear submarine repositioning and presidential rhetoric as contributing to the market panic, causing a “violent shakeout” rather than a fundamental shift. Krüger’s bullish outlook for Q4 2024 rests on three pillars: a robust US economy, anticipated Fed rate cuts, and an improving regulatory environment. However, he acknowledges potential risks, such as a resurgence in inflation impacting ETH-linked treasury plays. His one-year Bitcoin price target for mid-2026 is $200,000-$250,000, contingent on a dovish Fed and continued adoption. His strategy involves adding long positions on Monday, anticipating a bottom similar to the August 2024 market low.

(Source: https://www.newsbtc.com/news/has-the-crypto-market-bottomed/)