Analyst Luke Gromen Shifts to Short-Term Bearish Stance on Bitcoin

According to BlockBeats, Luke Gromen, founder of Forest for the Trees and a macroeconomic analyst, expressed his long-term optimism for Bitcoin on the podcast "The Monetary Matters Network." Gromen revealed that he had acquired most of his Bitcoin holdings at prices below $30,000 from late 2022 to early 2023 and has held onto them without selling. However, he has now adopted a short-term bearish outlook on Bitcoin for several reasons. Firstly, Gromen noted that Bitcoin's performance remains closely linked to tech stocks. He pointed out that the future bottleneck in AI competition lies in electricity rather than semiconductors, which could negatively impact the prospects for both Bitcoin and tech stocks. Secondly, Bitcoin has not demonstrated a breakout performance relative to gold. Gromen highlighted that the future liquidity environment is likely to be either extremely expansive, akin to "nuclear-level money printing," or contractionary. Lastly, Gromen mentioned the potential threat posed by quantum computing to Bitcoin, suggesting that this could become a significant issue within the next two to nine years. Gromen also emphasized the importance of monitoring Tether's activities, noting that the company has recently invested in AI and gold. He observed that Tether's balance sheet shows a larger gold position compared to Bitcoin, which he considers noteworthy.