‘A Lot of Pain’ Left to Come in Crypto Cycle, According to Investor Meltem Dimirors – Here’s Why

Crypto veteran Meltem Demirors thinks upcoming outflows could be rough for the crypto market.

Demirors, a general partner at the investment firm Crucible Capital, says on the social media platform X that there’s “apathy and complacency everywhere.”

“Zooming out, BTC volumes are lower than they were pre-election, and implied volatility in options markets is also very depressed – meaning there’s low demand for leveraged bets on Bitcoin by savvy traders.

So, what’s the outlook on flows? 2024 ripped – between ETFs (exchange-traded funds) and the Trump Pump and the persistent strategy bid – it was a mega year for inflows. We have Gox moving coins, not really much forced sell pressure but not much demand either. We’ll be sideways for a bit.

I still think we have a lot of pain left in this cycle and outcomes going forward will be binary. There’s $800 million of tokens unlocking every week. Show me the bid. Show me liquid funds who haven’t been carried out. No feelings, these are the facts.”

Demirors says this week’s crypto market price jump is a “relief bounce” driven by retail traders and algorithmic commodity trading advisors (CTAs).

The overall crypto market cap is up more than 4.4% in the past seven days.

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