The head of the Artificial Intelligence Group, Dr. Jassem Haji, confirmed the rise of cryptocurrencies on the impact of the Russian-Ukrainian crisis, and that this currency, if it can withstand, may move to new high levels this year.
Dr. Haji said that cryptocurrencies rose yesterday, erasing the sharp losses they had incurred earlier, and traders seemed to be getting rid of the Russian-Ukrainian crisis, as Bitcoin soared 17% to reach $21.38262 by currency metrics, and Ether gained About 0.2% to be traded around $2631.50 early yesterday.
Dr. added. Hajji said that the bitcoin currency fell more than 8% to touch $3,4702.18, its lowest in a month, and fell below the main support level, and that the downward movement may exhaust itself by the end of the day and give way to two weeks or more of stability, noting that US President Biden announced that he Sanctions will be imposed against Russia, which would limit its ability to do business in dollars, euros, sterling and Japanese yen, in an attempt to isolate Moscow from the global economy. As institutional interest increases and more short-term investors who trade Bitcoin like other risky stocks enter the market.
He noted that cryptocurrencies have been under pressure since Bitcoin reached a record high of nearly $69,000 in early November, and since then the price of Bitcoin has fallen by nearly 50%.
He said that the current geopolitical situation will inevitably have an impact on the already high prices in the commodity market and exacerbate already serious supply chain problems, which in turn can lead to higher inflation, meaning that the Fed and other central banks may not really have There is room for a reversal of their hawkish course and we can expect risky assets and cryptocurrencies to deepen into bear market territory. Bitcoin could see drops at around $30,000 with the key level, the lowest being between $28,000 and $29,000 last July. If bitcoin can hold above that, it could move to new highs later this year, and if the price drops below that, bitcoin could move to the low $20,000 mark.