Laith Khalaf, director of investment analysis at AJ Bell, said on “Squawk Box Europe” on Wednesday that there is no sign that cryptocurrencies will overflow into traditional assets. The collapse of FTX is a blow to cryptocurrencies, but it is not a fatal blow. A lot of money, but it’s kind of like a standalone ecosystem.
If we had a broader systemic issue, you might start to see it impact other assets, but I don’t really see that.
Furthermore, Khalaf said that this time next year we might be sitting here discussing that BTC might be at $5,000 or $50,000. This wouldn’t surprise me as markets are largely driven by sentiment.