CEO of crypto-trading companies and Trading Genesis Genesis Capital Trading Michael Moreau believes that the price of bitcoin can find a minimum of about $3 000.

In conversation with CNBC this Friday, he admitted that the course of bitcoin could drop another 30%. “I don’t think we should count on reaching the bottom, until the price drops to $3 000,” he said.

According to the analyst, long-term investors are set to ride out the recession and see the recovery in prices, but at the same time, it is not recommended to use the current lows to add positions.

“This is the fifth or sixth decline in bitcoin by 75%+ over a 10-year history of its existence. If we are talking about long-term prospects, I do not think that the institutional investors are concerned, what mark the price of bitcoin will end the current year because they are looking at 3-5 years ahead,” he added.

Answering the question about the deterioration of the climate in the industry of mining, Moreau drew attention to the fact that the cost of producing one bitcoin fell with a hash rate of the network.

Also the head of Genesis Trading recently had a chance to talk with the portal Cheddar, which reported that technical factors indicate the possibility of a further decline in the prices of cryptocurrencies, while the bears “rage”, and the market is behaving “disgracefully”.

He believes that investors are finally beginning to understand what bitcoin is, with all its advantages and disadvantages. It also understands the financial institutions such as Fidelity, Bakkt and Goldman Sachs, says Moreau, adding that the latest events indicate that the cryptocurrency market is still in the very early stages of development.

“Product Fidelity has not yet started. Platform Bakkt, the release of which was to be held in December, was postponed for another month. Thus, recent announcements have not yet had an impact on the market, because investors continue to take advantage of the promised opportunities,” says Moreau.

In the end Moreau reiterated that the participants of the cryptocurrency market should prepare for new lows in the short term:

“As soon as the rate fell below $5 900, there was a massive influx of short positions. Therefore, a given impulse continues to exert influence and short positions were added in mid-cut $5 000 — $6 000, and is closer to $4 000”. Discuss current news and events on the Forum

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