Analyst: Bitcoin Could Revisit $50,000 as Recession Fears Weigh on Crypto Markets
CryptoNewsTerminal Staff05 Aug, 2024
Analyst: Bitcoin Could Revisit $50,000 as Recession Fears Weigh on Crypto Markets
Heightened recession concerns are weighing on the broader crypto markets, and could see Bitcoin revisit the $50,000 level, according to a report from crypto market analysis firm 10x Research. 10x Research founder Markus Thielen added that "strategies involving levered long crypto positions might be premature at this stage." He continued, "inflows into crypto markets from fiat currencies have been trending lower for several months, suggesting that major players are less willing to commit capital to crypto in the face of elevated volatility and price discovery. We recommend investors de-risk and reduce portfolio volatility for the time being." Thielen also noted that the US July ISM Manufacturing PMI, which has historically had a strong correlation with Bitcoin prices, came in below expectations, and that the froth in US equities might also be set to correct towards more realistic levels, adding to the bearish outlook for crypto markets.
