Kraken chief calls Bitcoin drop an ‘opportunity to buy’

Jesse Powell, chief executive of Kraken, signalled the onset of a fresh crypto-winter. In an interview with Bloomberg he noted that Bitcoin could fall below $40,000 and that should be seen as ‘an opportunity to buy’.

According to Powell, the market for the first cryptocurrency develops cyclically, with the starting points of these phases being halvings. The previous reduction in miners’ rewards occurred in May 2020, the next one ожидается in March 2024.

Despite the looming crypto-winter, the Kraken chief believes that the price of digital gold will recover quickly as investors start buying assets.

“I think many people are looking at prices below $40,000 as an opportunity to buy. I personally bought when a few months ago we dipped to almost $30,000. Many people are simply waiting to re-enter the market at the lowest prices,” he said.

In August, Powell stated that in 2021 Bitcoin’s price could exceed the $100,000 mark. According to the CEO, by December his forecast was unlikely to come to pass, but he stressed that, in the long run, this price level looks quite achievable.

“It’s hard to say where it [the Bitcoin price] will go. When you look at the trend line on a long time frame, it simply grows steadily. I always tell people who are thinking about buying digital gold to treat it as a five-year-or-longer investment,” added Powell.

Earlier, the stock-to-flow model author admitted the failure of his own “worst‑case” scenario, according to which Bitcoin was supposed to reach $98,000 in November.

Earlier, SkyBridge founder Anthony Scaramucci said that investors should take advantage of the latest correction in the digital-asset market to build their positions.

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