Experts at major hedge fund believe that Bitcoin might dive to $15,000 level now
The flagship cryptocurrency is likely to hit $15,000 below the current $20,000 zone in the US, according to a recent Bloomberg article by a hedge fund that got rid of its cryptocurrency holdings last month. .
“Losing $20,000 would mean a further big drop for BTC”
CIO of AlphaTrAI Max Gokhman told Bloomberg that the jobs report that came out proved to be stronger than expected. Higher unemployment figures mean that the Federal Reserve is likely to raise interest rates higher than they are already after recent increases.
This could put the leading digital cryptocurrency at risk of falling from the $20,000 price line, where it has been since August 26, a sharp speech by Jerome Powell said.
Gokhman stated that Bitcoin has strong ties with macro economic sentiment at the moment, so the $20,000 level is crucial. Losing it would mean a deeper drop for Bitcoin.
AlphaTrAI converted most of its cryptocurrency holdings to cash at the end of August, ending the month with a fall of just 0.4%.
Bitcoin needs to hold $20,000 at NFP release, expert says
The last time the biggest crypto by market cap traded in the $15,000 zone was in early 2020, when the world faced a pandemic that spread around it like a wildfire. In November 2021, Bitcoin managed to spike to an all-time high of close to $69,000.
Edward Moya, Senior Market Analyst at Oanda Corp, said in a note that it is important for Bitcoin to stay at the $20,000 level when another important report is published, Non-Farm Payrolls (NFP). The report is to come on September 2.
Otherwise, he said, Bitcoin may drop to summer levels. The lowest that BTC hit back then was around $18,000 in mid-June.
