Predictions for 2022 are coming in fast.
The chief executive of crypto exchange Kraken says the dollar is going to crash and bitcoin will see its price fall dramatically in 2022.
As part of that tumult, Jesse Powell urged investors this week to prepay healthcare and tuition expenses and take on more U.S. debt.
“Maybe I should stop making predictions. I’m going to say the dollar is going to zero. You should start stocking up on gasoline and milk right now. If you can prepay your healthcare and tuition bills you should probably do that right now,” said PowelI in an interview with Bloomberg TV.
The dollar index fell 0.28% on Thursday, while sterling rose 0.40% to $1.3316 and the euro rose 0.19% to $1.1307.
“Take on as much U.S. dollar debt as you can because there will be a jubilee at some point. Interest rates are going negative so don’t hold your currency in dollars,” Powell added.
“I’m paying more attention to the U.S. dollar these days wondering where the bottom is. Seems like inflation is out of control and there is no end in sight,” added Powell.
Powell also says the price of the most traded cryptocurrency, bitcoin, could drop to below $40,000 this winter and urged investors to buy the dip.
“A lot of people see anything anything under $40,000 as a buying opportunity,” said Powell.
“I was personally buying when we dipped back close to $30,000, a few months ago. A lot of people have some dry powder on the sidelines just waiting to come back in at rock bottom prices,” he added.
Bitcoin price is down 0.9% in the last 24 hours, according to CoinGecko, a price-tracking website for crypto assets. The price of bitcoin was trading 2.81% lower at $47,838 on Thursday.
Last month, cryptocurrencies across the board witnessed a wide selloff on with prices of some of the most popular tokens including bitcoin, ethereum, XRP, solana and dogecoin all declining sharply.
Bitcoin prices have taken a dive in recent weeks, falling more than 6% over last week and 26% over the past month.
“Think of bitcoin as a five-year-plus investment, up and down, day-to-day, week-to-week. You don’t want to be trading this on short timeframes. It’s more of a buy and hold investment,” Powell added.
Powell had earlier predicted that bitcoin could touch over $100,000 by late 2021 and early next year.
Bitcoin operator Kraken supports over 90 cryptocurrencies in over 70 assets. Kraken is working on an NFT platform to give investors exposure in this asset as well.