Online Blockchain CEO Warns Bitcoin Could Crash to $8k as ‘FTX Crisis Is Unresolved’
Given that the collapse of FTX has caused a more than 60% drop in the value of Bitcoin (BTC) and other cryptocurrencies this year and that the damage has spread to listed companies with exposure to digital assets, analysts are trying to predict the flagship cryptocurrency’s next short-term move.
Speaking with Daniela Cambone of Stansberry Research, CEO of Online Blockchain Clem Chambers discussed whether the worst is over for Bitcoin’s price. Chambers said:
“No, I don’t think it’s all over. You see what people don’t realize is that a centralized exchange is a bad thing. First, it is centralized. The whole point of crypto is that it was decentralized. Stock exchanges are not exchanges at all, they are banks where you deposit your money.
Chambers pointed out that things could turn around “by a miracle” if nothing else goes wrong, but he warned that Bitcoin’s price could quickly fall.[Bitcoin] goes up like a rocket and down like a rock.” If “the dominoes [exchanges] is going to start falling one after the other, then you could easily see Bitcoin down to $7,000 or $8,000.”
Chambers predicted Bitcoin at $17,000
On September 12, Chambers predicted that Bitcoin would reach the $17,000 mark and noted that if it hit that price, it could fall further to $10,000. Now that BTC is trading slightly below that price, the crypto expert believes it could take up to 18 months for the market to recover, not until 2024, when the Bitcoin halving takes place.
He noted:
“People are going to be licking their wounds for months after FTX. It’s not going to be until the halving before there’s some buying pressure.”
The CEO also added that he was tempted to buy in at $20,000, but when Bitcoin got there, it felt like the price button, and for him, FTX didn’t collapse either.
“When this FTX thing happened, it didn’t feel final, it’s still unresolved. The Genesis thing is unresolved, and therefore the Gemini thing is unresolved, and therefore the Grayscale thing is unresolved. And if they don’t miraculously solve, there will be other people who will be unresolved, and where will it all end? Well, it ends in what is called capitulation.”
Ultimately, Chambers is a believer in decentralized technology, but believes the problems with the centralized part of the crypto space, “Bitcoin is decentralized. The whole thing that I love and believe in is decentralized; it’s the centralized piece that goes pear-shaped.”
Watch the video: Crypto expert warns Bitcoin could fall as low as $8,000
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