Warning of a “big fall” in the value of Bitcoin
Al-Anbat - Raneem Alhalawani
The market for crypto currencies such as Bit coin and others
shrank by about half a trillion dollars last month due to losses in the value
of currencies, led by losses in the value of Bit coin, which fell, according to
Monday's prices, to 30 thousand dollars.
The American CNBC network quoted Scott Minard, chief
investment officer at Guggenheim, that the bit coin is expected to fall
further, to about 8000 thousand dollars, which will deepen the losses of this
market, as this is a "significant fall” in its value.
He told the network that "When you get below 30,000,
$8,000 is going to be the bottom line, so I think we have a lot more room for
the downside, especially with the Fed being restricted."
Minred refers to the Federal Reserve (the US central bank)
raising interest rates and tightening monetary policy.
Bit coin fell below $30,000 earlier this month, about 24
percent in the last 30 days alone.
He also predicted that most crypto currencies would be
"junk" but that Bit coin and Ethereum would "survive."
"Most of these coins, they're not coins, they're
junk," he said.
Minard added that additional technological advances could
change that and help create a system where people get used to using crypto
currencies for transactions and are confident that they will retain their
value.
His comments come after European Central Bank President
Christine Lagarde said crypto currencies "are worth nothing".