Jim Iuorio, managing director of TJM Institutional Services and a veteran futures and options trader, says Bitcoin traders still remember the leading cryptocurrency’s all-time high of $20,000 and that that figure can drive the price higher.
Appearing on CNBC, Iuorio is betting that the recent crypto rally still has more steam.
“I do think it does. And I think it’s mostly an emotional trade. I think it’s FOMO. People missed out when it traded up to $20,000. I think the psychology behind it could be the same now. When it eclipsed $4,000, I think that started to kick in mildly. If it eclipses $6,000 again, it might happen again.”
“If it trades back to $5,810 in the June contract, I think that’s a spot to buy. One of the things I liked is that earlier in the day it tried to plunge the lows and it was immediately rejected. To me, it seems like the upside is the easiest path with a target of $6,060 on the upside.”
Scott Nations, president of NationsShares, the world’s leading independent developer of volatility and option-enhanced indexes, weighs in with a different take on Bitcoin.
“Right now, I’m fine not owning Bitcoin and missing out on the big gain that we’ve seen this year.”
“I know people are making money, and Jim may very well make money with his trade here, but that’s fine. I think Warren Buffett and Charlie Munger put it best this past weekend, when they said they wouldn’t get near it.”