Bitcoin (BTC) could face a retest of $20,000 and the United States will fail in its plans for a “soft landing” on inflation, a new analysis says.
In a YouTube update on Feb. 5, Cointelegraph contributor Michaël van de Poppe, founder and CEO of trading firm Eight, warned that the tide is due to turn for risk assets.
U.S. “probably” headed for recession — Van de Poppe
Amid confusion over how incoming U.S. macroeconomic data may affect market sentiment, Van de Poppe says there is an increasing chance that the rebound seen in crypto and stocks this year may flip bearish.
Bitcoin, for example, saw 40% gains in January, but like some others, he believes that a disappointing February is a real possibility.
“I think that people should understand that there is no soft landing, that there is likely a continuation of this downward trend on the markets,” he said about the longer-term status quo.
The U.S., Van de Poppe continued, would “probably have” a recession thanks to the extent of the Federal Reserve’s interest rate hikes.
Should a comedown begin to show itself, for BTC/USD, a potential retest target lies between $20,000 and $21,000.
Much depends on the outcome of Consumer Price Index (CPI) data for January, due Feb. 14. Should it show that inflation is slowing less than expected or even disrupting that downtrend, the results could…
