A broker monitors financial data on computer screens on the trading floor at ETX Capital, a broker of contracts-for-difference, in London, U.K., on Thursday, June 8, 2017. The pound could plunge to as low as $1.20 on Friday, a level last seen in January, should the U.K. snap election lead to a hung parliament, according to a Bloomberg poll of analysts.

Sterling slid to $1.1459 on Wednesday to hit its lowest point since October 2016 as liquidity concerns sent the dollar surging and hammered currencies around the world.

The pound fell more than 4% on the session to hit its lowest point since 1985, with the exception of an overnight "flash crash" in October 2016 which took sterling to $1.1450. The pound is currently trading below the levels seen in the aftermath of the Brexit referendum.

Fears over the economic fallout from the coronavirus pandemic and radical monetary policy action from the U.S. Federal Reserve are exerting further downward pressure over the past two weeks as investors flock to the surety of the dollar.