Bitcoin has been under pressure in recent days, and Jordi Visser, a former Morgan Stanley Managing Director expects a sharp uptrend soon.
For context, BTC currently changes hands at $110,412, down 1.84% over the past 24 hours and 11% below its Aug. 14 peak of $124,517. Notably, the drop has erased gains from Federal Reserve Chair Jerome Powell’s dovish Jackson Hole speech.
Bitcoin’s Price Struggles
Amid this downtrend, Anthony Pompliano invited Jordi Visser, CIO of Weiss Multi-Strategy Advisers and a former Morgan Stanley Managing Director, onto his podcast to share his take on Bitcoin’s recent struggles.
Notably, the selloff sparked the year’s largest liquidation event, closing $900 million in leveraged trades across markets. At the same time, Bitcoin ETFs recorded six straight days of outflows from Aug. 15 to 22, draining $1.188 billion from the market.
Visser Explains Why Bitcoin is Down
Responding to Pompliano, Visser said he was surprised Bitcoin didn’t break higher when Ethereum surged past its old highs. For context, Ethereum jumped 14.33% on Aug. 22 and eventually claimed a new all-time high of $4,955 two days later, while Bitcoin managed only a 3.93% gain before turning lower.
Discussing this weakness, Visser pointed to Bitcoin’s close ties to the stock market and tech sector. He explained that when momentum in the AI trade slows, retail investors often pull money out of assets like Bitcoin.
Moreover, changing expectations around Federal Reserve rate cuts also played a role. Specifically, markets had fully priced in a September cut just a week ago, but that probability has since dropped to around 70%, shaking investor confidence.
However, even with these setbacks, Visser emphasized that the broader setup still favors Bitcoin. He noted that strong PMI readings often line up with Bitcoin’s best rallies and argued that the same conditions are present now.
Bitcoin Could See a Sharp Move Up
While he admitted that time is running short for a massive breakout this year, his outlook stayed bullish. “I’m still focused on this thing having a very, very sharp up move,” he remarked.
The macro investor also pointed out that hedge funds and institutions now play a bigger role in Bitcoin markets. They often use it as a liquid, round-the-clock hedge against tech exposure, which can create sharp swings. Still, he insisted that the momentum remains in Bitcoin’s favor: “All of the tailwinds are behind.”
Meanwhile, Visser argued that investors will eventually rotate into Bitcoin as traditional tech giants lose momentum. According to him, “everyone who’s looking for betas and technology is going to have to move into Bitcoin.”