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According to KOL Jurrien Timmer, Bitcoin will bottom at $40,000

Jurrien Timmer, macro strategist at financial giant Fidelity, says Bitcoin (BTC) may have found a new level of support, 33% higher than previously thought.

In a thread to his 80,000 Twitter followers, Timmer to speak that a little-known metric called “calm flow” could be the key to a Bitcoin bottom at $40,000.

“A few days ago I argued that 40,000 could be the new 30,000 for btc based on the intrinsic value enhanced by my S-curve model.

Another indicator I just came across also suggests this: quiescent flow. It has reached the oversold zone that signaled previous lows.”

Timmer provides a chart that tracks data since Bitcoin’s birth in 2011, where BTC’s price has fluctuated just above the S-curve demand curve.

The source: Jurrien Timmer/Twitter

The tweet thread follows a previous post in which Timmer said that Bitcoin appears to be oversold at $40,000 due to Federal Reserve policy and rising inflation.

“Is $40,000 the new $30,000? The Fed’s restrictive inflationary policy had far-reaching effects.

With the motivation from excess liquidity, The crypto market drop is just a correction, not an outright shock.”

The source: Jurrien Timmer/Twitter

The strategist concluded that he believes BTC is still a store of value like gold.

“I want to compare BTC to another traditional store of value, which is gold.

Here we see that the BTC/Gold ratio has fallen back to the breakout zone from last year.

Technically, this is a bullish signal.”

The source: Jurrien Timmer/Twitter

At the time of writing, Bitcoin is trading at $43,200, which is unchanged over the past 24 hours.

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Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.