The Bitcoin (BTC) market looks tepid as it heads towards the end of 2021. While CoinMarketCap’s early Christmas cheer turned out to be a glitch, the regulators wrestling to bring the $2.2 trillion market under government oversight has further delayed the chances of a potential relief rally.
With only a fortnight left, Bitcoin predictions are here again. This time it is – crypto exchange Kraken’s CEO Jesse Powell, who hinted that the flagship cryptocurrency might drop below $40K. However, that’s not all.
Bitcoin a Buying Opportunity
Jesse Powell had earlier predicted that Bitcoin would hit $100,000 by the end of 2021. Even though he mentioned there are a few days left, at a press time price of $48,296, and with the current trend, a milestone as bold as the one claimed may not transpire.
In a recent interview with Bloomberg TV, the exec said that there is a possibility of Bitcoin going down to $42,000. He also said that a drop below $40,000 would offer a buying opportunity for market participants.
“But I think a lot of people see anything under the $40,000 as a buying opportunity. I was personally buying when we dipped back to $30,000 a few months ago. A lot of people have some dry powder on the sidelines just waiting to come back in at rock-bottom prices.”
Talking about his not-so-successful price prediction, Powell thought “we would all be in flying saucers and paying for coffees in Bitcoin” back in 2011. While that is highly unlikely soon, the exec does believe in the long-term trendline of Bitcoin and its consistency. He asserted that Bitcoin should be considered a “five-year plus investment.” Rather than trading in a short time frame, Powell said that the cryptocurrency is more of a “buy-and-hold investment.”
Is Dollar Doomed?
In line with the exchange’s $100K Bitcoin prediction, the exec has a new one – “Dollar is going to zero.” He even went on to say that people should start stocking up on gasoline and milk if they can prepay tuition and healthcare bills. Powell didn’t stop there. The CEO of the premier exchange also said that the interest rates are going to drop into the negative region, and urged people not to hold dollars.
On the regulatory aspect in the United States, Powell spoke about the decade-long uncertainty and the lack of a proper regulatory regime in the space. As a result, many firms have resorted to shifting their base offshore, looking for better pastures, while others remain on the sidelines, fearing for consequences.