According to JPMorgan experts, the FTX catastrophe may have caused the price of Bitcoin, the most popular cryptocurrency in the world, to plunge as low as $13,000.
Notably, the American financial behemoth thinks that Bitcoin, whose price is currently at $15,000, may eventually go below its production cost.
According to JPMorgan, the downfall of one of the biggest cryptocurrency exchanges would result in “a cascade of margin calls” that the market will have to deal with in the coming weeks. The cost of the biggest cryptocurrency fell to a new two-year low of $15,632 on November 9.
Bitcoin may plunge below $10,000
Although Bitcoin has now recovered to a price of $16,784, many analysts are of the opinion that it may soon fall even worse. According to Mark Newton, head of technical strategy at Fundstrat, Bitcoin will likely hit the $13,000 mark before finding support.
Newton does not, however, rule out the possibility that, in the event of very strong volatility, bearish could succeed in driving the largest cryptocurrency below the $10,000 mark.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu