Bitcoin’s worst days may still lie ahead of it…
by Manoj Sharma for CNR
Crypto analysts at Bloomberg have predicted that whilst the market has already tanked in the last few days, Bitcoin could further drop to $1500.
As investors piled in the hope to capitalize on the opportunity created by Bitcoin Cash fork last week, the markets gained momentum for a while, but subsequently fell off a cliff. Almost across the board, it’s been the toughest few days of the year for cryptocurrencies.
Bitcoin has snared the headlines, losing around a third of its value in just under a week. And what’s more, Bloomberg’s analysts are not optimistic about the current trend of digital assets. Whilst they conceded that “Bitcoin was no longer boring”, they see the possibility of the most popular cryptocurrency dropping to a new market bottom of $1500.
Bloomberg cited Travis Kling, saying that he “didn’t sleep well” due to the turmoil created by the recent Bitcoin Cash Hard fork. “There’s a small chance that it’s difficult to estimate, that something really bad could happen related to Bitcoin Cash that could then impact the entire crypto market”, he’d said. He was right.
Mike McGlone, an analyst at Bloomberg Intelligence, echoed King’s words by saying that the recent market crash “was sparked by the pump for the Bitcoin Cash hard fork”. He added that the “pump that began a few weeks ago, got the market a bit too offsides with speculative longs playing for the good old days. But this is an enduring bear market”.
The recent collapse of Bitcoin value has evidently affected more than just prices. Nvidia, the GPU manufacturer recently reported a significant decrease in sales in the current quarter.
In a recent note to clients, Rob Sluymer, an analyst at Fundstart Global Advisor, predicted that Bitcoin will take weeks to rebound from the damage caused by the recent price collapse. Right now, that feels optimistic…