Cryptocurrency expert predicts bitcoin’s fall to $ 20,000

Michael Kramer, founder of Mott Capital Management, an asset management company, expressed concern about the flagship cryptocurrency’s possible drop to $ 20,000.

According to him, bitcoin is «a very good leading indicator for high-risk assets in general.» Therefore, the expert believes that the fall of digital gold will be a negative factor for the entire stock market.

In turn, Michael van de Poppe, a well-known strategist and founder of the Eight investment company, believes that bitcoin can drop to $ 26,280 and then start growing.

«If you look at past periods, a retest of the 200-day moving average has always been a great time to accumulate bitcoin. Over the past six months, bitcoin has been below this indicator for a long time, which makes it undervalued. Next week will be key — a quick retest and a breakout will mark the end of BTC’s correction,» the crypto analyst says.

De Poppe is confident that to confirm the future growth of bitcoin, it needs to gain a foothold above $ 27,000, which will show the mood of bull investors. If BTC fails to conquer and hold this mark, it is likely to roll back to $ 26,000 or $ 26,500.

Nevertheless, the trader’s current forecasts are more positive than in 2022: in late November, Michael van de Poppe predicted that BTC would fall to $ 10,000. At the time, he noted: «Previously, people wanted digital gold to fall to $ 20,000 in order to buy as much cryptocurrency as possible. Now traders dream of selling their virtual assets to buy bitcoin for $ 10,000.» It is worth noting that De Poppe’s forecast did not come true: in December, the minimum rate of the flagship asset was around $ 16,500.