Expert Warns, If This Happens, Bitcoin Will Almost Crash!

The crypto money market, which was badly damaged by the collapse of Terra and FTX, has finally started to recover. As a matter of fact, the participants remember these collapses and think about the possibility of a similar event. In recent discussions, one of the important names of the industry grayscale Even the collapse of Investments was discussed. So, can such a collapse really occur, and if it does, what will be the consequences?

Trader and host of the “The Wolf of All Streets” podcast Scott Melket spoke with David Lin of Kitco News. Melker noted that a “rare event” like the Grayscale crash would have a huge impact on the market. If such a collapse occurs bitcoin will be met with great selling pressure.

Cryptocurrency The main problem especially for Bitcoin is that there are problems in places such as Grayscale and GBTC. I don’t think that will happen, but if something like GBTC liquidation happens, the big sale will be triggered…”

However, in such a hypothetical situation, he thinks there are many companies like Valkyrie that could save Grayscale.

Why Grayscale Matters to Bitcoin

Grayscale launched Grayscale Digital Infrastructe Opportunities LLC (GDIO) in October to help investors take advantage of Bitcoin mining infrastructure with low fees.

He also noted that in the summer of 2022, Grayscale made an attempt to launch a Bitcoin spot exchange-traded fund (ETF), but this attempt was rejected by the SEC. The firm then launched a lawsuit against the regulator.

Will the Bull Market Continue?

Asked whether Lin believes the market will see a recovery in 2023 after a difficult 2022, Melker replied:

“I predict we’ll see a more horizontal decline as we see macroeconomic developments really give us some clarity. I don’t expect Bitcoin to skyrocket while the Fed remains hawkish and we don’t know what’s going on in other markets…”

The trader does not expect a very strong bull market, but believes that the bulls will take full control.

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