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Bitcoin forecast For the first time since last September… a sharp decline in the price of “Bitcoin”
Bitcoin forecast Sharp drop in the price of Bitcoin
Bitcoin forecast
The cryptocurrency “Bitcoin” witnessed a significant decline, today, Friday, as its price fell to about 41 thousand dollars, for the first time since last September.
“Bitcoin” fell by 3.5 percent, to reach 41,598.86 dollars, a decrease of 40 percent compared to its record level, which reached about 69,000 dollars on November 10.
The second largest cryptocurrency, Ethereum, also witnessed a decline of 8.3 percent, recording less than 3,200 dollars, its lowest level since September 30.
The price of “Bitcoin” usually affects the rest of the cryptocurrency prices, which often rise and fall as the price of the largest cryptocurrency rises and falls.
Bitcoin forecast Bitcoin price expected to drop below $40,000
Mike Novogratz said Thursday that he expects bitcoin to hit a low of $38,000 as institutional investors prepare to buy the cryptocurrency in a sell-off as 2022 begins.
“I know big institutions that are going through the process of positioning, so I think they will see these as attractive levels to buy,” Novogratz said on CNBC’s “Squawk Box”, adding that “on the charts, $38,000, $40,000 looks like It’s the place we need to get to.”
Bitcoin has fallen by almost 11% since January 1, as the currency lost strength from about $47,700 when it started dropping in early 2022 to its lowest level during Thursday at around $42,560.
Bitcoin and other cryptocurrencies were very successful during the Wednesday session. So-called risky assets fell minutes after the Federal Reserve’s December meeting that indicated policy makers were preparing to tighten monetary policy faster than previously expected.
Bitcoin slumped to a one-month low, and the second-largest cryptocurrency fell more than 10% to trade below $3,400. Ether stayed slightly lower on Thursday.
“All of us, and I mean every investor, should have the idea that ‘we’re headed for a paradigm shift, right?'” said Novogratz, the billionaire and president of investment management firm Galaxy Digital Holdings.
He added, “We have this philosophy that the Fed will keep interest rates low forever and yet, they will raise rates to 2% over two years gradually and they will continue to buy Treasuries for a while. So we are in this liquidity bubble.”
He noted that US consumer inflation rose to 6.8% in 2021: “If inflation doesn’t go down as the Fed thinks (it will), all bets are off,” also noting that 10-year Treasuries have risen more than 1.7% over the course of the year. A week later, it was 1.3%.