In a surprising show of conviction, YoungHoon Kim, who claims to hold the world’s highest IQ, has staked a bold outlook for Bitcoin, even as short-term holders (STHs) appear to be capitulating. With sentiment at extreme levels and macroeconomic headwinds mounting, Bitcoin continues to trade under bearish pressure, with a 10% drop over the last week to trade at $95,596 at press time.
Top IQ Holder Makes Bold Call on Bitcoin
Kim, who asserts an IQ of 276, noted that Bitcoin will reach $220,000 by the end of the year. His bold call comes as the crypto market continues to bleed, having lost more than $1 trillion in value in the last five weeks. In an X post, he said,
“As World’s Highest IQ Record Holder, I expect #BITCOIN is going to $220,000 in the next 45 days.”
Kim’s bullish outlook mirrors the earlier sentiments by Sygnum Bank that the crypto market is headed for a bullish Q4. However, analysts continue expressing concerns about more dips happening in the near term.
One analyst on CNBC noted that “liquidity in crypto markets has evaporated.” They stated that the bear market might worsen because of an ongoing liquidity crunch that started on October 10 following a massive liquidation event.
While speaking to CNBC, Hex Trust CEO Alessio Quaglini also opined that the correction could cause a dip to the $70,000 levels. He noted,
“We have to be honest: this correction may not be finished … if equities roll over, we could easily retest the low $70Ks, maybe briefly below.”
Adding to the bearish pressure, expectations of a Federal Reserve interest rate cut in December have been pared down. Data from the CME FedWatch Tool currently shows a 43 % chance of the Fed trimming rates, dampening hopes of additional liquidity support.
Short-Term Holders Dump 148K BTC Below $100,000
Data from CryptoQuant shows that short-term holders are dumping their bags at a loss. Analyst Crazzy Blockk observed that the traders holding less than one million BTV have sold 148,241 coins at $96,853, notably below the acquisition price of between $102,000 and $107,000.
The analyst noted that such selling behaviour indicates that the traders are willing to sell their coins at a loss instead of risking a steeper decline in the price.
“This event is a classic signature of capitulation from those who bought near the peak. When the market price crashed through the $100,000 support level and fell below their personal cost basis, it triggered a wave of fear,” he said.
The wave of panic selling is also happening as the Bitcoin Fear and Greed Index plunges into Extreme Fear territory. The sentiment follows the formation of a BTC death cross signal.
Therefore, while Kim’s bullish prediction injects narrative upside, the ongoing liquidity crunch, selling activity, and diminished expectations of Fed rate cuts in December continue to weigh heavily on Bitcoin price and might prevent a recovery above $100,000 in the near term.
