Bitcoin price forecast: According to the investor Gareth Soloway things are not looking good for bitcoin at the moment. In a recent interview, the CFO of InTheMoneyStocks.com said that the cryptocurrency is heading for the worst-case scenario and could drop 95% like Amazon after the dot-com bubble. But how does the investor with more than 20 years of experience in finance come to this conclusion?
If that does happen, then “worst case Bitcoin price will fall to $3,500,” Soloway explained.
Bitcoin Price Prediction: When to Buy BTC?
Will Soloway only buy Bitcoin at this price? Regarding his investment strategy, Soloway said:
“I know from my career that I never hit the exact low points. Basically, I’m already starting to accumulate in the lower tens of thousands. At $13,000 I will buy a little bit of Bitcoin, at $10,000 a little more. I believe bitcoin will eventually hit $100,000 or even $500,000. I won’t try to predict the bottom either, but try not to surprise it. That’s why I just use it in this low price range dollar cost averaging to build a core position.”
Ethereum Price Prediction: Bear Market Crushes Merge Hopes
Regarding Ethereum, Soloway is pessimistic: “I think the key is to understand what kind of market we’re in. When you’re in a bear market, it takes a lot to push prices up because people are scared. In a bull market, on the other hand, the smallest piece of news can send prices skyrocketing. It could even be news that is irrelevant. The problem, however, is that we are in a bear market. And in a bear market, people really look for value.”
Solway provided investors know if anything changes immediately to regain confidence. The merge did not meet this expectation.“It’s fantastic for Ethereum, but in the short term everyone’s focus is on Federal Reserve interest rates, the US dollar and the economy. All of these factors are depressing risk investing right now.”
US Federal Reserve policy staggers markets
According to Soloway, the FED’s monetary policy is still too aggressive to expect a trend reversal in Bitcoin and the stock markets:
“They are so biased towards further rate hikes, even more than I thought. I’ve always been conservative and told myself the Fed has to be careful here. If it plunges us into a deep recession and inflation is still above the 2% mandate or the 2% sub-mandate, how will it get us out?
The markets will look at the Fed and say, ‘Hey, would you please print some money and get us out of this like you’ve been doing for the last 20 years?’ The FED will say, “We can’t do that. We don’t have inflation of 2% or less, we can’t print your way out. I think this scenario is possibly gaining more and more weight.”
Soloway recalls the whole thing as an emotional reaction: “They know they printed too much before. Now they’re trying to make it up with another mistake, but in this case, two mistakes don’t give the right result. Further price declines remain possible.“
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