Singapore-based cryptocurrency service provider Matrixport’s co-founder Daniel Yan issued a cautionary statement to investors as Bitcoin‘s rise continued. The cryptocurrency surpassed the $60,000 level for the first time since 2021, hinting at a possible all-time high (ATH).
Statement from the Co-Founder of a Renowned Company
Yan’s comments come amidst a surge in investor interest and a sense of extreme greed in the market, as indicated by the Crypto Fear & Greed Index reaching a value of 82.
This bullish sentiment was further strengthened by the U.S. Securities and Exchange Commission’s (SEC) approval of the BlackRock’s iShares Bitcoin Trust, which currently manages assets worth $7.5 billion, and other spot Bitcoin ETFs.
Yan highlighted the unpredictability of the market, emphasizing the possibility of a potential correction that could reach approximately 15% by the end of April. According to Yan, March is a month full of developments.
Providing examples, Yan pointed to significant events such as the Federal Reserve’s meeting, the approaching Bitcoin halving, and the Ethereum Denomination upgrade.
Daniel Yan said the following:
The market sentiment has reached a level that makes me think we should be cautious – revisiting my pinned tweet about the potential size of corrections could be a good idea. I believe we need to see a healthy correction of about ~15% by the end of April.
A Cautious Approach from Matrixport
Yan’s perspective seems to be shaped by macroeconomic events that significantly affect market sentiment and investor behavior.
Despite the positive atmosphere following the SEC’s approval of spot Bitcoin ETFs, Yan’s viewpoint once again demonstrates a more careful approach amidst rapid gains and increased market activity.
Matrixport is known to hold a significant place in the crypto world with its predictions from the past to the present. In January, when Bitcoin was trading at $40,800, the firm published a report expressing doubts about the approval of spot Bitcoin ETFs due to political risks.
Despite the report, the subsequent approval of the ETFs created a contradiction and resulted in a significant increase in Bitcoin’s value.
While all these situations are unfolding, the company continues to execute new strategies one after another. On February 26th, the company applied for a virtual asset trading license with the Hong Kong Securities and Futures Commission (SFC).
