Bitcoin Could Crash By Almost 40%! Bloomberg strategist lays out the timeline
The market capitalization of all cryptocurrencies fell by 24% to $770 billion between November 8 and 10. Asset values rose 16% as fears subsided and forced future contract liquidations lessened.
Also, Bitcoin (BTC) could fall to previous July values back in 2020, according to Bloomberg Intelligence senior macro strategist Mike McGlone.
With due diligence across the asset class, there is a lot of panic in the cryptocurrency community right now and the future looks bleak for altcoins. Experts like Mike and others are constantly warning investors to be wary before buying any tokens right now.
Meanwhile, Mike has pointed out that in the coming weeks the price of Bitcoin could fall by 39% from today’s level and return to the $10,000 support level.
McGlone’s timeline
To provide clarity to the eager market participants, the macro specialist has now underlined the difficulties risk assets will face in the future.
As expected, he stated that there is a possibility that BTC and other coins could see a massacre in the future, due to the current capitulation period.
“Capitulation selling stops” could be triggered in other markets that have been under pressure this year should Bitcoin and other crypto assets collapse.
He then drew attention to the fact that the large risk-asset regression in 2022 was already visible as of November 9. Unfortunately, however, the remaining trading sessions could set the stage for 2023, with Bitcoin serving as one of the race’s fastest horses and top leading indicator, breaking support and risking a return to the $10,000 threshold.
The BTC trend, on the other hand, is currently trading at $16,362, down nearly 20% from the monthly high of $21,480 reached last week. As a result, this can be interpreted as a clear sign that prices may fall as predicted.
The failure of the FTX cryptocurrency exchange and the subsequent damage to Sam Bankman’s reputation, according to the senior macro strategist at Bloomberg Intelligence, will have a significant impact on macroeconomic conditions. Investor confidence has been rattled, which has had a negative impact on cryptocurrencies.
The bottom line
Due to cryptocurrency scams and the current political turmoil, the largest asset class has lost its appeal in society and a massive dump has made the situation worse. It will be exciting to see what the trade trends in 2023 bring.
