Jacob King, an analyst with WhaleWire, has issued a warning about Bitcoin’s trajectory and the broader crypto market.
In a post on X, King highlighted key developments that he believes could trigger a prolonged bear market.
King pointed to MicroStrategy’s decreasing Bitcoin (BTC) purchases, El Salvador’s apparent shift away from its Bitcoin-focused policies, and BlackRock’s sizable sales of BTC holdings as critical warning signs for investors.
In the past, King has frequently labeled MicroStrategy’s Bitcoin-focused business model a “giant scam,” arguing that it is unsustainable and destined for collapse.
— Jacob King (@JacobKinge) January 3, 2025MicroStrategy's BTC buys are getting smaller and smaller, facing extreme risks. El Salvador is reversing its Bitcoin policies, BlackRock is dumping record-high amounts of BTC, and Tether mysteriously hasn't minted anything new in over 20 days, causing BTC to stagnate.
It's the…
He also noted that Tether (USDT), one of the leading stablecoin issuers, has paused new minting activity for more than 20 days, a period that coincides with Bitcoin’s recent price stagnation.
“The calm before the storm,” King stated, warning that the crypto market’s potential downturn might coincide with a broader stock market crash. He attributed the current market optimism to “greed” and advised investors to reassess their risks before holding their positions further.
King’s critique comes as Bitcoin trades at $98,387.00.