Geoff Kendrick, Global Head of Digital Assets Research at Standard Chartered, warned that Bitcoin could face a 10% pullback if it breaks below the critical $90,000 support level. Kendrick addressed the “convexity” risk that could push Bitcoin below $80,000 in the near term due to potential unwinding in spot exchange-traded funds (ETFs) in a research note published today. “We believe a move below $90,000 for Bitcoin would initiate a 10% near-term downside move, pushing prices below $80,000,” Kendrick said. He also noted that such a move would likely lead to declines in the broader digital asset market. Bitcoin’s recent price action has been weighed down by macroeconomic factors and ETF-related risks, the analyst explained. He noted that spot Bitcoin ETF buying since the US election has now evened out, leaving the market vulnerable to forced or panic selling. Related News: Official to Head One of the Most Important Financial Institutions of the USA Talked About Cryptocurrencies “$90,000 is a key level for Bitcoin, and a drop below it could trigger additional selling pressure across all digital assets,” Kendrick added. The warning comes amid broader market turbulence following a hawkish turn by Federal Reserve Chair Jerome Powell on Dec. 18. Bitcoin’s price fell to around $90,000 on Jan. 13 amid macroeconomic concerns. The analyst argued that the sell-off in digital assets could be self-reinforcing and that many recent Bitcoin sell-offs could result in losses, increasing market volatility. Despite the short-term risks, Kendrick expressed confidence in Bitcoin’s long-term potential and reiterated Standard Chartered’s $200,000 target by the end of 2025. He attributed this bullish outlook to expected institutional inflows under the Trump administration’s pro-crypto policies. *This is not investment advice. Continue Reading: Standard Chartered Issued a Warning for Bitcoin and Altcoins: “It Should Not Fall Below This Level, If It Falls…”
