‘Bitcoin Positioning Remains Neutral, No Clear Edge’: Jason Shapiro

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Jason Shapiro, Owner of Crowded Market Report.com commented on the current state of Bitcoin, stating that its positioning is very neutral and has been for several months as the market has remained stagnant. In an interview with David Lin, he said that he previously observed very short positioning back in November of last year, following a significant price increase from October to November. 

This surge led to considerable selling, which he saw as an opportunity to buy Bitcoin. However, after Bitcoin’s price peaked around the $65,000 level, the positioning shifted to neutral and has stayed that way since.

He added that he doesn’t see any particular advantage in terms of positioning, psychology, or sentiment in Bitcoin at the moment. While daily price fluctuations are expected, he believes there’s no clear edge on either side currently. 

The analyst noted that market conditions and opportunities vary across different markets and times. When there’s no apparent edge, it doesn’t mean the market won’t move; it just indicates a lack of significant risk-reward advantage, which is his current view on Bitcoin.

He said, “I don’t really see any edge in positioning, psychology, sentiment in Bitcoin here. It’s clearly on each and every day they’re going to go up or down, but from what I see, there’s really no edge here on either side for that one right now. When there isn’t an edge, it doesn’t mean the market is not going to go up or down; the market is going to go up or down from day to day.”

Is The Stock Market Rallying?

Jason said that while tech sectors had been declining except for those supported by Nvidia and a few other major names, this trend has reversed recently. Tech stocks are now flat or down, while the other sectors have been rising, and small caps are rebounding. Reflecting on market sentiment, he said that some worries have been mitigated, leading to a market rally, but warned that as concerns diminish, so does the upside potential.

Despite recent improvements in market breadth, he remains uncertain about the sustainability of this trend. He suggested that a healthy bull market is usually led by higher beta stocks, a condition not fully met recently.