Bitcoin Could Have a ‘Panic Day’ Today, Says Ben Armstrong, Here’s Why

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Youri Molchan

A Popular Crypto Blogger Has Named Factors That Could Soon Push Bitcoin Below $15,000

Controversial YouTube crypto blogger Ben Armstrong, also famous under the handle BitBoy, took to Twitter to share that today could be a “panic day” for flagship cryptocurrency Bitcoin.

If BTC manages to hold more than $15,000, BitBoy tweeted, the odds of the bottom will increase dramatically.

Today could be a day of panic. So much news in the last 12 hours, it’s honestly hard to follow or cover it all.

If Bitcoin is holding $15,000 amid the DCG/Genesis/Silvergate debacle on top of unemployment going the wrong way (from ADP), chances are the bottom is dramatic.

Ben Armstrong (@Bitboy_Crypto) January 5, 2023 Negative news for crypto

The crypto blogger wrote that there has been so much negative crypto news in the past 12 hours that it is hard to keep track of it all. In particular, he mentioned three major news items that he believed could force Bitcoin to drop below the $15,000 level.

The unemployment rate is expected to worsen

The first is the problems of DCG and its Genesis lending arm, the drop in deposits at the crypto-oriented Silvergate bank, and the US unemployment rate, which is expected to reach 4.6%. Employers are expected to create around 43,000 new jobs per month in 2023.

This is a much worse situation in the labor market than in 2022, when the unemployment rate was 3.7%. Over the past year, more than 400,000 new jobs have been created by businesses.

Winklevoss–Silbert conflict

In the meantime, Gemini exchange head Cameron Winklevoss is working to recover $900 million in client funds that were loaned to DCG’s Genesis. Initially, this sum of almost 1 billion dollars was loaned to the company of Barry Silbert in order to make high profits for the lenders on Gemini. But now Winklevoss can’t seem to get that money back because Genesis has bad cash flow problems and is on the verge of bankruptcy.

Silvergate bank run, staff layoffs

Silvergate, a major crypto bank, faced massive withdrawals of around $8.1 billion after the FTX exchange collapsed in early November and the arrest of its founder, Sam Bankman-Fried . The bank sold its assets at a loss to offset the withdrawals and laid off around 40% of its employees.

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