"Relax investors, after all BTC will plunge but maybe not to $10,000."
Well-known cryptocurrency analyst Nicholas Merten said that the actions of the Federal Reserve (Fed) of the United States (US) could not only bring down the price of Bitcoin (BTC) but the entire market.
Merten told his 211,000 YouTube subscribers that the Fed may once again crash the crypto market drastically if they continue to raise interest rates as a way to combat inflation.
Recent testimony from Fed Chairman Jerome Powell could push BTC below the $20,000 level in the near term.
This is because while answering questions from Republicans and Democrats about why the Fed is taking a hawkish stance on monetary policy, Powell said in front of Congress that he wants to maintain the 2% inflation target.
Marten also said the crypto market has been following traditional market movements in recent weeks and investors bullish on BTC should be happy to buy the digital asset while its price is in the $14,000 to $13,000 zone.
Analysts see that BTC is likely to hit the following price levels, but the digital asset has absolutely no chance of plunging to $7,000 or even $10,000 following its absurdly large decline.
As of this writing, BTC price has plunged by 2.22% at $21,711 in the last 24 hours with a market capitalization of $419 billion while Ethereum (ETH) has slipped 1.74% at $1.537 but Ripple (XRP) is up 3.08% at $0.39.
