Matrixport Co-founder Warns of Market Sentiment, Predicts 15% Correction by April

Daniel Yan's profile image on X

Matrixport co-founder Daniel Yan issues a cautionary note on the current market sentiment, warning of potential risks ahead and predicting a 15% correction by April. He highlights concerns about market euphoria and advises investors to remain cautious, particularly in light of upcoming macroeconomic events in March.

Caution in The Midst of Euphoria

Daniel Yan, co-founder of Matrixport, has issued a cautionary note regarding the current sentiment in the market, suggesting that investors should exercise caution. He anticipates another healthy correction of around 15% by the end of April, citing potential macroeconomic uncertainties in March, including the Federal Reserve meeting and the release of the BTFP report.

In a recent post shared by Daniel on X, he highlighted concerns about market euphoria and emphasized the importance of revisiting his previous warnings about potential corrections. The sentiment in the market has reached a level where caution is warranted, prompting Daniel to anticipate a significant correction in the coming weeks.

Caution Bitcoin’s Latest Surge

Data available from Binance shows that Bitcoin has exceeded $60,000, reaching a maximum of $60,800, with a 24-hour increase of 6.4%, and the China fiat RMB denominated price has reached a historical high.

Despite this upswing, Yan wrote:

“Euphoria: the sentiment of the market has come to a level where I think we should be cautious – may be a good idea to revisit my pinned tweet on the size of potential corrections. I think we should see another healthy ~15% correction by end-April.”

Additional tweets from Daniel further reinforce his cautionary stance. He notes that the timing of the correction is uncertain but suggests it could occur within the next month, particularly with the macroeconomic challenges ahead in March. The upcoming DenCun mainnet upgrade and Bitcoin halving also contribute to the vulnerability of the market during this period.

The Need for Vigilance

Daniel’s insights underscore the need for investors to remain vigilant and consider the potential risks associated with short-term trading strategies. While uncertainty prevails, long-term holders are advised to stay the course and focus on the fundamentals of their investment strategy.

As the market continues to evolve, Daniel’s warnings serve as a reminder of the importance of prudent risk management and informed decision-making. By staying informed and prepared for potential market fluctuations, investors can navigate the volatile landscape of digital assets with greater confidence and resilience.

Author: Jinka

Jinka is a self-trained crypto journalist, passionate about happenings in the industry.