Buffett’s Prediction Suggests Possible Correction in Crypto Prices

Warren Buffett, known as the Oracle of Omaha, has predicted that businesses’ performance could decline, leading to a short-term stock decrease, which could have a knock-on effect on cryptocurrency prices. Speaking at a Berkshire Hathaway shareholder meeting in Nebraska, Buffet said many firms would report lower earnings caused by discounts after their COVID-19 inventory build-up. This general economic decline could result in a crypto price correction. Apple saw declines in its revenue segments in Q2, with analysts also predicting a decline in earnings for Occidental Petroleum. Berkshire Hathaway sold $13.3 billion in shares in Q1, increased its stake in Occidental Petroleum and is sitting on $130.6 billion in cash. Charlie Munger, Buffet’s business partner, predicted lower stock market returns amid higher interest rates last month; the rise in rates could have a knock-on effect on Bitcoin performance. Other macro pressures, such as regulatory uncertainty, could also depress crypto prices.