Andrew Kang: Bitcoin may hit a new high in 2025, but we still need to be wary of extreme corrections in the next few months

Andrew Kang, co-founder of Mechanism Capital, wrote on X: "I began to realize that this is the first cycle and complete bull market that many cryptocurrency investors have experienced. Throughout the bull market, BTC's multi-day decline was very limited, limited to less than 20%, and many people seemed to have accumulated holdings in the last pullback in April. However, in the last cycle, the market often carried out leverage cleanup, resulting in a 30% to 60% retracement, evaporating hundreds of billions of dollars in total. Different cycles, different paradigms, but when people are too comfortable and believe that something is impossible, it is usually the time for disaster to strike. Although I am bearish, this is not to tell you to short the market or sell everything in the market. Be sure to pay attention to your risks and don't bet all your bets on a transaction. If our volatility is greater than expected, you may suffer huge losses." It added: "The current market environment reminds me of May 2021, not June 2021, let alone December 2020. At that time, we were used to only rising and competing for the bottom. We have experienced from $64K to $45K was a big correction, but everyone expected a bounce. But the end result was that the bottom was all the way down. We held out hope; more retail investors were coming, $40K was strong support, super cycle, etc. The same is true in the current environment. It was all 9-10 months after the bullish momentum started. Except this time it was the Ethereum ETF, and the legendary trader was bullish. I believe GCR’s timeframe is correct on a multi-year timeframe, and we will see BTC hit new highs in 2025 (but not all altcoins). This does not mean that the market will not experience extreme corrections on a few months timeframe. After all, the market will teach you how to be a person. ”