“Bitcoin is falling further”… Experts ‘warning’ of further declines one after another [이슈+]

On the 9th, the current price is displayed on the billboard of the Bithumb customer center in Seocho-gu, Seoul. yunhap news

As the price of Bitcoin plunged to a ‘half’ of its highest price, financial experts are warning of further declines one after another. Investor sentiment of cryptocurrency investors has frozen to the lowest level since the COVID-19 pandemic.

Peter Schiff, 58, chairman of Europacific Capital, a Wall Street tycoon who predicted the 2008 financial crisis, said on Twitter on the 8th (local time), “If Bitcoin completely breaks below $30,000, there is a possibility that it will fall below $10,000. “It looks high,” he warned.

According to CoinDesk, an American coin exchange, the price of 1 bitcoin is currently in the $33,630 range as of the morning of the 9th in the United States. This is about half lower than the all-time high of $67,553 recorded in November last year.

Schiff said over 80% of the 16,000 people who responded to his poll said that “Bitcoin will drop below $30,000”. ” he said. He added that “gold prices will skyrocket if investors find out that the Fed’s rate hike will cause a recession and not a marked reduction in inflation,” he added. Schiff is known for being a gold enthusiast and a Bitcoin skeptic. He has previously criticized “Bitcoin is a scam” and “a digital risk, not digital gold”.

Photo = AFP Yonhap News

Experts who are friendly to cryptocurrencies also predicted a ‘fall’ for the Bitcoin price. Peter Brandt, a famous American cryptocurrency trader who predicted the cryptocurrency market downtrend in 2018, said, “If you look at the chart, Bitcoin is entering a bear market. said. Jeffrey Halley, chief market analyst at Oanda Asia Pacific Pte, said, “If risk sentiment continues to deepen, the next support level could drop to $20,000 after hitting $28,000.”

Cryptocurrency’s struggle is the aftermath of last week’s announcement of a rate hike by the US Federal Reserve (Fed). As concerns about high-strength austerity have emerged, the global market has shown a tendency to avoid risky assets and prefer safe assets, causing the stock market to fluctuate and the price of virtual currency to plummet. Ethereum, which has the second largest market capitalization after Bitcoin, is currently trading at $2460. Also, it has halved from the high of $4811 in November last year.

The domestic cryptocurrency market is also in shock. As of 1pm on the 9th, 1 bitcoin is trading at 44.29 million won on Upbit, a cryptocurrency exchange. It is about 17% lower than the previous month (53.25 million won) and 46% lower than the peak in November last year, which rose to 81.4 million won. Ethereum also fell to 3.24 million won, down 20% and 44%, respectively, from its peak a month ago (40.6 million won) and its peak (5.8 million won).

The current market price is displayed on the billboard of the Bithumb Customer Center in Seocho-gu, Seoul on the 9th, which is trading at the lowest level in over two months as the prices of cryptocurrencies such as Bitcoin are falling due to the weakness in the stock market. yunhap news

Investor sentiment is rapidly freezing due to the drop in cryptocurrency prices and the pessimistic forecasts of experts. According to Alternative, a US cryptocurrency data research company, the ‘Fear and Greed Index’, which indicates investor sentiment in the cryptocurrency market, was 11, indicating an ‘Extreme Fear’ level. It is down 17 points from last week’s 28 (Fear).

In the index, the closer the index goes to 0, the closer the market sentiment is to extreme fear, and the closer it is to 100, the more it means extreme optimism. When cryptocurrency prices peaked last year, the index stood at 84 and rose to 95 in December 2020. The lowest index recorded since the outbreak of the COVID-19 pandemic is 10.



Source: 경제 by www.segye.com.

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