Investment bank Standard Chartered (STAN), one of the biggest crypto bulls, now says that Bitcoin’s (BTC) price could fall as low as $50,000 U.S.
Previously, Standard Chartered had forecast that Bitcoin’s price would reach $100,000 U.S. by year’s end.
The revised outlook comes as Bitcoin currently trades at $58,200 U.S., down nearly 3% in the last 24 hours.
The largest cryptocurrency by market capitalization has been trending lower since it completed a halving event in April, reducing the available supply of the digital asset by 50%.
Past halving events have led to Bitcoin’s price rising. But not this time.
There have also been five consecutive days of outflows from U.S. spot Bitcoin exchange-traded funds (ETFs) after several months of rapid inflows.
Risk assets such as crypto are falling out of favour with investors as the U.S. economy slows, inflation creeps higher, and interest rates are likely to remain higher for longer.
Despite its lowered forecast, Standard Chartered recommends that people buy Bitcoin if the price falls to $50,000 U.S. or lower. Year to date, Bitcoin’s price is up 32%.
