A group of Wall Street analysts said the current Bitcoin sell-off will likely push the price of the digital asset down to $40,000.
According to a Bloomberg report, analysts from several Wall Street Companies claim that Bitcoin’s current price is bound to drop even further to a 200-day MA. If this happens, the leading cryptocurrency could drop from its current $43k zone down to $40,000.
Rich Ross from Evercore ISI is one of those who believe that Bitcoin is headed for lower lows due to the bearish effect of Elon Musk’s recent tweets bashing Bitcoin and hyping Dogecoin.
Meanwhile, the CEO of Tallbacken Capital Advisors, Michael Purves, thinks that the bears have finally gained control of the crypto market after a prolonged period of Bull Runs. He claims that the next crucial support for Bitcoin is $42,000. Should the digital asset fall lower than this price, it could face a heavier decline.
As of press time, Bitcoin was trading at $42,400 after reaching a 24-hour low of $42,200.
Some analysts opined that gold is currently eating away money from crypto since XAU is trading at $1,867, up from $1,824 on May 13 on Nasdaq.