There are currently no serious reasons for BTC growth in the global crypto market, experts believe. In addition, rising caution among investors fans the flames following the collapse of the FTX crypto exchange. Therefore, in the first six months of 2023, the flagship cryptocurrency is predicted to plunge to $10,000 per coin.
In late December 2022, investors started increasingly withdrawing assets from Binance. What is more, the United States is planning to tighten its grip on crypto transactions. In this light, bitcoin will hardly rise steeply, experts pinpointed. Therefore, the token is seen to be trading as low as $10,000 per coin in the first six months of 2023.
Factors such as the US Federal Reserve’s tightening policy and tougher regulation of the crypto sphere are now weighing on digital gold. On December 14th, the US central bank raised interest rates by 0.5%. In response, bitcoin sank sharply against the dollar. With interest rates reaching a range of 5% to 5.25% in 2023, the cryptocurrency is suggested to see limited upside potential.
Earlier, Goldman Sachs said that gold would be superior to bitcoin in the long term. Although the value of bitcoin is based on its potential benefit to investors, it is still unusually sensitive to changes in interest rates. Goldman Sachs also pointed to the higher volatility of BTC. In this regard, physical gold is a more reliable investment instrument than digital gold, Goldman Sachs stressed.
