“Bitcoin, risk of further decline if it is less than 40,000 dollars each”

It is predicted that if the price of bitcoin does not cross the $40,000 level again, it could face further downside risks.

According to Bloomberg News on the 18th (local time), JPMorgan, a global investment bank (IB) headquartered in New York, USA, raised such concerns through an investor memo on the 15th. Due to the nature of cryptocurrency, if the price is less than a certain level, investors following the trend will drop out, and the mood for price adjustment will naturally continue until the end of March.

Bitcoin, which has been on the rise since last year, peaked at 42,000 dollars (about 46.4 million won) on the 8th, but it fell shortly and remains at 36,000 dollars (about 39.5 million won) at 8 pm on the same day.

“The flow of funds from Grayscale, the world’s largest cryptocurrency manager, will give us a clue about the future bitcoin price forecast,” said Nicholas Faniger Choglow, a strategist at JPMorgan. It is similar to the situation, but at the time, thanks to the inflow of institutional investor funds into grayscale, Bitcoin was able to continue the upward trend.”

The biggest problem facing cryptocurrencies such as Bitcoin is the possibility of’regulatory intervention’ by governments.

Meanwhile, UBS Global Asset Management pointed out in a report on the 14th that “virtual currency prices could plummet” if central banks in each country launch more complete digital cryptocurrencies or change investors’ sentiment due to regulatory intervention. Furthermore, UBS Global Asset Management predicted that the virtual currency price could ultimately drop to’zero’ (0).