Pompliano: Likelihood of Bitcoin Seeing Major Pullback in Q1 Next Year Is Low

December 24th — Cryptocurrency entrepreneur Anthony Pompliano argues Bitcoin’s lack of a flashy year-end price rally could actually help it avoid a major crash in Q1 next year. Speaking to CNBC, Pompliano noted that given current volatility levels, a sharp Bitcoin drop is unlikely. “Even with volatility already compressed, a 70% or 80% Bitcoin plunge would be really surprising right now,” he said. He added that Bitcoin holders’ short-term disappointment over the asset missing its $250,000 annual target has overshadowed its strong long-term performance. “Let’s not forget: Bitcoin’s up 100% in two years, nearly 300% in three. It’s been compounding,” he said. “It’s been a monster in financial markets.” Pompliano also noted that while the market’s fixated on Bitcoin’s year-to-date price drop, the decline in its volatility has been mostly ignored. “We didn’t get that expected year-end rally in late Q3 or early Q4, but we also didn’t see the 80% crash people usually fear,” he said.