Yusko Warns: Bitcoin Overbought, Predicts $58,000 Bottom
Mark Yusko, CIO of Morgan Creek Capital Management, shared his thoughts on Bitcoin's recent price fluctuations. The cryptocurrency had surged above $82,000 in September but fell back below $80,000 due to strong US employment data and expectations of a Fed interest rate hike.
Yusko believes that the recent rise indicates an overbought zone within a bear market. He predicted that the bottom of the cycle for Bitcoin could form around October 5th, with prices potentially falling to levels around $58,000 in the short term.
The analyst also stated that, based on indicators such as Metcalfe's Law, user count, and trading volume, Bitcoin's value is $105,000. However, he acknowledged that it's possible for Bitcoin to fall to around $60,000 or even as low as $58,000 in the short term.
Yusko recommended limiting Bitcoin's weighting in investment portfolios to between 5% and 10% for general investors.