Standard Chartered Predicts Bitcoin Could Fall to $50,000
If you think the recent dips in the price of Bitcoin is bad, leading financial firm Standard Chartered could further darken your mood, concluding that the biggest cryptocurrency by market cap could fall as far as $50,000.
The Bearish Analysis on Bitcoin
In a Wednesday note, Geoffrey Kendrick—digital assets researcher at the British company and lead author of the report—said that “the broader macro backdrop has deteriorated for assets like crypto that thrive on liquidity.”
- The driver seems to be a combination of crypto specific and broader macro.
- Bitcoin’s break below $60,000 has now reopened a route to the $50,000-$52,000 range.
Bitcoin’s Price Volatility
Just last month, Standard Chartered predicted that Bitcoin could hit $150,000 per coin by the end of the year.
- After the approval of 11 Bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission in January, Bitcoin’s price soared.
- It reached a new all-time high of $73,737 in March.
Downtrend Brings Concerns
However, the hype has cooled, and the Federal Reserve’s indication of keeping interest rates higher for longer has driven investors away from risky assets like Bitcoin.
- As a result, the funds have experienced significant outflows.
- Bitcoin’s price currently stands at $56,900 after a 13% decline in just seven days.
Trading Below 2021 Highs
Since April, Bitcoin has been trading well below its 2021 record of $69,044.
Hot Take: Navigating Bitcoin’s Price Swings
Bitcoin’s price volatility has become a major talking point among investors and analysts. As Bitcoin’s price swings continue to capture attention, Standard Chartered’s bearish outlook serves as a stark reminder of the unpredictability of the crypto market. With factors like macroeconomic conditions and regulatory developments at play, staying informed and adaptable is key to navigating the shifting landscape of crypto investments.
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Sources:
– [Decrypt](https://decrypt.co/)
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