Jeremy Grantham, one of GMO’s co-founders, reiterated his long-held negative view of Bitcoin. Grantham, known for his warnings about asset bubbles on Wall Street, said he thinks Bitcoin will gradually lose its influence over time rather than become a permanent part of the financial system.
Harsh criticism from Grantham to Bitcoin
Grantham stated that he does not believe that Bitcoin will experience a sudden collapse, but that interest may gradually decrease over the years. In his view, Bitcoin has no fundamental value and has not consistently demonstrated the strong market performance that its supporters often point out.
Jeremy Grantham stated that he thinks Bitcoin may fall off the agenda not with an explosion, but with a slow dissolution over many years.
The famous investor also opposed the view that Bitcoin is a reliable store of value that protects savings. He cited the fact that it could decline by half without any apparent reason in a strong economic environment as an important example against this view.
Grantham also argued that, compared to gold, Bitcoin has not gained widespread use in daily life. He stated that people do not prefer Bitcoin for serious commercial transactions or daily payments, so the claim of its use remains limited.
59 thousand dollars stands out in the technical view
On the other hand, Katie Stockton, founder of Fairlead Strategies, drew attention to the technical levels that investors closely follow. According to Stockton, the $59,000 region has served as a key support area for Bitcoin for months, and this is likely the third time the market has tested this level.
Bitcoin recently dropped to $58,000 before recovering to $59,835. Stockton said that if there is a permanent decline below $59,000, the next major support zone could form in the lower part of $40,000. It was reported that there were also those who talked about the possibility of a deeper withdrawal in the market.
According to the analyst, Bitcoin fell nearly 30 percent after failing to break above its 200-day moving average. This average has served as resistance almost perfectly, and the broader trend remains downward for now.
Optimism in the long term, caution in the short term
Stockton stated that despite the weak outlook, some signals indicating balancing have appeared on long-term charts. He noted that the current trading range coincides with an important Fibonacci retracement level, and if this region is broken, a deeper retreat may come to the fore. Another level that investors watched stood out as $ 60,000.
Bitcoin is currently trading around 60 percent below its peak. In previous downturns, losses ranged from 75 to 80 percent. Stockton said that he did not rule out the possibility of a new decline of similar magnitude, but that the volatile course could also create trading opportunities for those who read market trends correctly.
Katie Stockton emphasized that they are looking for signs of stability in the market at this stage, but the levels around $ 59,000 and $ 60,000 continue to be decisive in determining the direction.
Stockton stated that although he is optimistic about Bitcoin in the long term, he does not give much weight to the four-year cycle theory. The reason for this was that the available historical data was not sufficient to strongly confirm this thesis.
