The analyst is advised to buy bitcoin when it decreases amid the increasing association of Nasdak
In a recent development, Jeffrey Kendrick, from Standard Charterd, advised investors to “buy decline” in Bitcoin, where cryptocurrencies face pressure from its increasing association with the Nasdaq index.
Kendrick noted that Bitcoin is now closely related to the Nasdak index compared to gold. He explained that a 3 % decrease in the NASDAC futures futures, driven by news about Deepseek, emerging in Deepseek, led to large liquidations of encrypted currencies overnight, highlighting the strong relationship between encrypted currencies and the technology sector.
Moreover, technology shares such as NVIDIA have witnessed significant losses before entering the market, as NVIDIA decreased by more than 13 % after Deepseek revealed its artificial intelligence model, which competes with Openai at a much lower cost.
Kendrick warned that if the Nasdak index continues to face sales operations, especially with the announcement of major technology companies such as Microsoft, Meta and Tesla from its profits, and if the Federal Reserve meeting leads to disappointing news, BTC may decrease to large price levels.
Specifically, it is reported that the average price in which the Bitcoin boxes circulated on the stock exchange since the American elections are about 96400 dollars, which indicates that if Bitcoin decreases near this level, this may be a decisive point that investors must monitor.
Kendrick also commented on the executive order for the encrypted currencies issued last week from the Trump administration, which established a working group to assess the stock of national digital assets. He stressed that this announcement added more uncertainty to the market. Kendrick pointed out that after the news of the encrypted currencies of the Trump administration became public, the initial stage has passed through disappointment and confusion, which reduces the risks in the Bitcoin market. He pointed out that the next stage is “buying the decline.”
Kendrick identified three stages for the encrypted currency market: “When hope dies”, “buying decline”, and “Alpha alternative currency”. In the second stage, institutional funds are expected to dominate, with Bitcoin and Ethereum to reach the target price at 200 thousand dollars and 10 thousand dollars, respectively.
Next, it expects a “light” season alternative currencies, driven by the institutional flows to BTC and ETH, although it monitors the new winners of traded investment funds (such as Litecoin) and organizational change winners (such as UISWAP).
