Standard Chartered Signals Bitcoin Bottom at $59,000
In brief
- Standard Chartered's Geoff Kendrick identifies Bitcoin cycle bottom at $59,000, a 53% decline from $126,000 high
- Three confirmation indicators: Strategy Bitcoin purchases, ETF inflows, and falling oil prices
- Strategy founder Michael Saylor tweeted 'Still adding dots,' signaling forthcoming Bitcoin acquisitions
- Bitcoin ETFs recorded $85.84 million net inflows Friday; crude oil fell second consecutive day
- Kendrick closed note: 'Winter is over. Welcome back to crypto Spring'
Three Signals of a Turning Point
Kendrick is watching for confirmation in three places. First, Strategy's reporting that it bought more Bitcoin last week — the company disclosed its first reported Bitcoin sale since 2022 in a June 1 SEC filing, offloading 32 BTC. Second, positive inflows into Bitcoin ETFs. Third, declining oil prices, which have already begun to materialize.
Bitcoin ETFs posted a one-day net inflow of USD 85.84 million on Friday, with investors moving money into five of the funds while eight US-traded BTC ETFs saw no net change. Crude oil futures fell on Friday for the second straight day.
The timing matters. Michael Saylor posted a tweet on Sunday with "Still adding dots" accompanied by the familiar dot chart teasing forthcoming Bitcoin purchases. His message received more than half a million views by mid-afternoon ET, amplifying market sentiment ahead of what Kendrick sees as a pivotal disclosure.
Strategy's Bitcoin Defense
Strategy founder Michael Saylor has defended the company's willingness to sell Bitcoin, stating the ability to do so is necessary to continue issuing digital credit. If the company's policy were never to sell, he argued, the credit and equity would lose value.
Bitcoin was trading at approximately USD 63,704 on Sunday, already above Kendrick's identified floor. Kendrick closed his note to clients with a seasonal metaphor: "Winter is over. Welcome back to crypto Spring."
