Crypto Investors Likely to Give Up in a Possible Mass Capitulation

Crypto enthusiasts have long believed that the currency will always bounce back - but what happens if they lose that faith? Due to the continued decline of bitcoin and other cryptocurrencies, investors are displaying serious signs of risk aversion. . With risk aversion sweeping the markets, even today's anemic postcrash prices are being tested," says Craig Erlam. "Any significant break now would be devastating," he says. "Risk appetite in the near future is not encouraging." In addition, fellow expert Naeem Aslam told the outlet that if bitcoin takes another massive hit, investors may finally begin selling off all manner of currencies and not just Bitcoin in droves, if it narrows its "daily range." Aslam, an analyst at AveTrade brokerage, believes a massive capitulation is on its way. "We believe it can happen anytime since bitcoin has traded in a narrow range for so long." Although bitcoin "bulls are holding on very well" and not allowing the currency to "get battered," further declines could spell bad news. As he detailed a worst-case capitulation scenario, he explained that the next move wouldn't be at $17,000 or $14,000. It could be so intense that the price will easily fall to $10,000 during a sell-off."

This isn't the first time analysts have predicted a crash of Bitcoin, and it certainly won't be the last if it remains steady despite those warnings. In light of the brutal crypto crash this summer, especially coupled with overall economic turmoil, it's also possible that trouble is on the way. —Crypto Weekly