Lark Davis – Bitcoin: Don’t Panic, But… (03.04.2024 Summary)

Lark Davis – Bitcoin: Don’t Panic, But… (03.04.2024 Summary)

Lark remains very bullish on Bitcoin despite the recent 15% pullback from $73,000 levels. He views this as a healthy correction that is normal during bull market cycles.

Lark expects Bitcoin to retest the 50-day moving average around $53,000 as this was a key support level during previous cycles as well. However, he doesn’t see this as the cycle top and anticipates a move potentially above $250,000 at the peak mania levels after the Bitcoin halving event in a few weeks.

  • Lark advises against panic selling unless you have a strong conviction that this cycle is over and a new bear market is imminent. He argues that the risk/reward is not favorable for selling now and rebuying 10-15% lower, given Bitcoin’s potential upside. Dollar-cost averaging into positions is recommended to manage volatility risks.

Altcoin Opportunities

  • In the altcoin space, Lark is extremely bullish on the Solana ecosystem and its governance coin JUP (Jupiter).

  • He has made JUP one of his largest holdings and plans to accumulate more if it dips to the $1-$1.30 range. The lucrative staking rewards, airdrops, and a cut of the launchpad fees make JUP very attractive according to Lark.

  • He is also keeping a close watch on blockchain gaming projects like Planet Mojo, AI/GPU narrative plays, and profitable meme coin airdrops.

  • Projects like Render, Golem, and certain Layer 2 protocols on Ethereum like Base are on his radar as well.

Lark’s General Advice

  • Don’t panic during volatility and be ready to accumulate quality projects when they dip. Focus on high-potential narratives and ecosystems that are gaining traction. Manage risk by going slowly into new positions using dollar-cost averaging.

Be very cautious about giving out seed phrases, always confirm official website links, and revoke permissions if suspecting a hack attempt. While bullish overall, Lark emphasizes doing thorough research before investing and having reasonable expectations about the risks involved in crypto markets.