Bitcoin may dip “much lower” due to the “challenging environment,” Ross Mayfield says
Bitcoin, the top cryptocurrency by market capitalization, managed to recover to $20,440 earlier today on the Bitstamp exchange, adding more than 6% over the last 24 hours.
Former BitMEX CEO Arthur Hayes has suggested that the recent price spike may mark the bottom of the recent correction.
Last week, the flagship cryptocurrency logged its worst quarter in more than a decade, shedding more than half of its value.
While many technical signals may indicate that the cryptocurrency has already reached the bottom of this correction, there are also those analysts who remain on the fence.
Ross Mayfield, investment strategy analyst at US-based multinational independent financial services company Baird, recently told Bloomberg that the Bitcoin price could potentially plunge much lower. He explains that the largest cryptocurrency is currently dealing with “a challenging environment.”
ARK Investment Management’s Yassine Elmandjra claims that the top cryptocurrency may continue to suffer if the U.S. Federal Reserve keeps increasing interest rates.
The same view has been echoed by Mayfield, who claims that the central bank’s monetary policy could further dampen investors’ appetite for risk assets.
Glassnode analysts believe that it will come down to whether or not strong-hand investors will be able to hold the line.
Former venture capitalist and longtime cryptocurrency enthusiast Brett Munster has pointed to the fact that Bitcoin’s adoption remains strong in spite of the price crash, which makes this cycle different compared to 2018.
However, as reported by U.Today, Bitcoin investment products’ assets under management dropped by nearly a third in June.
