Bitcoin will crash to $10,000 before exploding over 200%, says investment giant VanEck Here’s the timeline

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Head of digital asset research at global investment giant VanEck, Matthew Sigel, predicts wild swings for Bitcoin (BTC) over the next few months.

Starting with a bearish prediction, Sigel states in a post detailing his crypto predictions for 2023 that Bitcoin could fall between $10,000 and $12,000 in the first quarter of next year.

According to Sigel, Bitcoin miners are currently unprofitable and the resulting bankruptcies will trigger a price crash for flagship crypto assets.

“Bitcoin will test $10,000 to $12,000 in the first quarter amid a wave of miner bankruptcies, which will mark the low point of cryptowinter.

The median market capitalization of the MVISGlobal Digital Assets Mining Index is now just $180 million, with nearly all constituents burning cash and trading well below book value.

With bitcoin mining being largely unprofitable given the recent rise in electricity prices and falling bitcoin prices, we expect many miners to restructure or merge.

The MVIS Global Digital Assets Mining Index tracks the performance of companies that generate at least half of their revenue from mining digital assets or activities related to the crypto-mining ecosystem.

Turning to a bullish forecast, head of digital asset research at VanEcks said Bitcoin could surge to $30,000 from July next year as lower inflation triggers monetary policy easing and tax.

“Meanwhile, if our recession forecast materializes, the Federal Reserve would likely suspend rate hikes amid slowing inflation, while money printing and government budget deficits continue.

The mere lack of crypto-specific bad news, in the above scenario, could drive Bitcoin price to a wall of concern again at $30,000.

At the time of writing, Bitcoin is valued at $16,692, down more than 4% on the day.

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