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Crypto Analyst Predicts Bitcoin Collapse, Warns Of 'Calm Before The Storm' In Global Financial Markets

Published 20/09/2023, 23:46
© Reuters.  Crypto Analyst Predicts Bitcoin Collapse, Warns Of 'Calm Before The Storm' In Global Financial Markets
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Benzinga - Nicholas Merten, the host of the popular YouTube channel DataDash, delved deep into the current state of Bitcoin and its potential trajectory, highlighting the failure of several bullish narratives that many believed would propel Bitcoin (CRYPTO: BTC) to new all-time highs.

Merten pointed out that while many were banking on factors such as the introduction of a Bitcoin ETF (exchange-traded fund), de-dollarization, BRICS or a Bitcoin bank run to drive up the cryptocurrency's value, these narratives have not lived up to the hype.

"All those narratives have fallen flat," he stated.

This perspective aligned with the discussions that will be held at the upcoming Benzinga's Future of Digital Assets conference on Nov. 14, at which experts from the crypto industry will shed light on the evolving market dynamics and the future of digital currencies.

Merten clarified his cautionary stance doesn't imply an imminent drastic drop in Bitcoin's price to levels like $15,714.

Instead, he emphasized, "When we say things are going to collapse... it means that we’re going to enter into a long, steady grind to the downside."

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This downward trend, he believed, will shatter the previously optimistic expectations of many investors.

He further warned of the potential repercussions for those heavily invested in the cryptocurrency.

"Many people will get liquidated. They will lose that capital and a lot of that excess money in the system that is still causing inflation is going to be washed out and taken out of the hands of everyday people," Merten cautioned.

Highlighting the broader economic implications, Merten said, "We’ve got to spend some time to talk about the calm before the storm."

He believed that not only Bitcoin and altcoins but also the broader asset markets are on the brink of a significant shift.

"A lot of macro uncertainty is finally coming up from beneath the surface… that could potentially cause a lot of pain in the economy," he concluded.

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Meet and engage with transformative Digital Asset and Crypto business leaders and investors at Benzinga's exclusive event: Future of Digital Assets. Tickets are flying: Get yours!

Photo: Shutterstock

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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