Expert: Tesla to become a major player in the mobile meta-universe

Analysts at UBS are predicting the imminent decline of the world's largest cryptocurrency, as a growing number of factors indicate that the "crypto-winter" is not far off, writes Business Insider.

According to them, the case for BTC as a currency and inflation hedge is on the wane, and its technology has several drawbacks.

Bitcoin has fallen sharply in recent weeks as investors prepare for an interest rate hike by the Federal Reserve.

UBS analysts led by James Malcolmin a Friday note to clients noted the onset of a "crypto-zima," that is, a giant collapse of many cryptocurrencies that may not recover for years. A Fed interest rate hike in 2022 would reduce the appeal of cryptocurrencies and, like bitcoin, and similar risky assets in the eyes of many investors, as such a move by the government defeats the argument that bitcoin is a good alternative currency or a means of savingof the same.

It is also important that its mining technology has many disadvantages, and regulation in the entire crypto-industry could stall its development. As we know, blockchain technology is difficult to scale due to its decentralized structure, which requires that all participants in the network can control and verify transactions. Also, according to UBS analysts, rampant speculation on cryptocurrency networks "inevitably requires greater oversight to protect consumers andfinancial stability.

BTC fell about 1% to $42,722 last Monday, well below its record high close to $69,000 in November.

There is every reason to believe that BTC's position will only get worse, as well as that of other cryptocurrencies, which will not be able to recover for a long time yet.

Recall that the last "cryptozyma" occurred in late 2017 and early 2018, when BTC fell from $20k to $4000 in more than a year, which led to the loss of interest of many investors in digital assets.

If central banks will fight inflation with harsh methods, it will undermine the argument that investors should stockpile BTC as protection against rising prices, Malcolm and his colleagues say.

It's also just plain bad for the BTC price, since central bank stimulus has been a key driver of cryptocurrency growth in 2020 and 2021.

There is a growing realization among crypto investors that bitcoin is not "better than money" because it is very unstable and its limited supply makes it inflexible.The large-scale emergence of autonomous vehicles opens up new possibilities for virtual reality. This is the opinion of the auto analyst of the investmentAdam Jonas of Morgan Stanley Bank (NYSE:MS).

"Today it's your car. Tomorrow it will be an immersive digital reality experience provided by a carbon fiber-coated IMAXIka on wheels attached to an electronic skateboard controlled by a supercomputer," Jonas said in a commentary to CNBC.

According to Jonas, the time that people willThe number of hours spent in cars will increase from 600 billion hours per year today to 750 billion hours in 2030 and 1.2 trillion hours in 2040.

According to the analyst, the so-calledmobile meta-universe" could secure a commercial airplane. He claims that Tesla (NASDAQ:TSLA) has the potential to become a major player in this area.
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