Standard Chartered Predictions For Bitcoin Prices Will Go Down To 5,000 US Dollars, BTC Dump?

Bitcoin price prediction according to Standard Chartered executive. (Photo; Doc. Unsplash)

JAKARTA The phase of the decline in the crypto market or bear market has been going on since May 2022 until now. In the midst of this decline, the Head of Global Standard Chartered Research, Eric Robertson, commented on the leader of the largest cryptocurrency by market capitalization, Bitcoin.

According to Robertson, the price of Bitcoin has the potential to decline even further. He predicts that BTC could drop to a level of $5.000 (approximately IDR 77.9 million) per BTC in 2023. At the same time, the price of gold could actually soar to its all-time high, ATH, to the level of 2,250 US dollars (equivalent to IDR 35 million) per ounce in the same year.

Furthermore, he explained that the cause of the fall in the price of Bitcoin to the level of $5.000 was due to the large number of cryptocurrency companies that are likely to experience a liquidity crisis. This has been experienced by the crypto exchange that went bankrupt last November, FTX, which is experiencing liquidity problems. Under these conditions, the Standard Chartered bank official is optimistic about the increase in gold prices.

As CNBC reports, Robertson argues that 2023 could bring more pain to the cryptocurrency market, particularly bitcoin. He estimates the price of this asset could fall to $5.000, or a 70 percent drop compared to current valuations.

Collapse could come as a result of the company's future crisis and other cryptocurrency platforms that could find themselves with "insufficient liquidity," pushing them into bankruptcy protection. Other negative events such as FTX could greatly affect investor confidence in the sector.

"The results of the dives along with technology stocks, and while the Bitcoin sell-off has slowed, the damage has occurred," said Eric Robertson.

As reported by CryptoPotato, major digital currencies have lost most of their value during the ongoing bearish market. Bitcoin was trading around US$47,000 in early 2022, while at the time of writing these rows, the value was around US$17,000 (equivalent to Rp266 million).

Contrary to bitcoin, Standard Chartered analysts predict that gold could become one of next year's biggest winners, surging to $2,250 per ounce. Price expansion could represent a 25 percent increase compared to current levels and an all-time new high for precious metals.

"The gold revival in 2023 [also] occurred when equity continued their bearish market and the correlation between equity and bond prices shifted back to negative," said Robertsen.

However, on an occasion, Standard Chartered CEO Billek actually emphasized the importance of digitalization in the future financial structure. That means the creation and adoption of cryptocurrencies is absolutely unavoidable. Therefore, my husband assesses that there will be competition between the central bank digital currency (CBDC) and digital money issued by the private sector.

"I think there really is a role for central bank digital currencies as well as digital currencies sponsored by non-central banks," said Bill

Still in the view of Britain's multinational bank,tender Vi wayls, Standard Chartered Chair, does not deny the benefits of the crypto sector. According to him, any monetary entity investigating the crypto sector will ultimately benefit.

For information, Standard Chartered has also launched a blockchain-based digital trading funding platform, Olea. In addition, StanChart became the first bank to join the Global Digital Finance Protection Council (GDF). At the same time, Vi

"The cryptocurrency space is an area where financial institutions need to be present. We are present," said