Xbox Series X could be not only more powerful than the PS5, but also cheaper. According to a new analyst's prediction, Microsoft may lose money on its next-gen console this holiday season to significantly undercut the PlayStation 5.

On a recent episode of Geoff Keighley's Bonus Round (via Push Square), Wedbush Securities analyst Michael Pachter said that Microsoft is pricing the Xbox Series X at $400 and could be significantly lower than the expected price of $500 for the PS5.

"From what I've seen, Sony will have to charge $500 for the PS5. Microsoft has a big balance sheet; if they want to cut the price by $100, they will." I think they will wait for Sony to blink first and then reveal the price and release date."

Pachter continued, "It's very likely to be available in November, very likely to be $400.

If this scenario sounds familiar, it's because the exact opposite happened at the start of the current generation consoles: at E3 2013, Microsoft revealed that the Xbox One would be priced at $500, which was also due to the bundling of the ill-fated Kinect camera with every console This was also due to the fact that it would be bundled with the Kinect camera. Just hours later, Sony revealed that the PS4 would be priced at $400, playing a major role in giving PlayStation an early lead and eventual victory in the current console war.

Peter Moore, a gaming industry veteran who led the Xbox team throughout the Xbox and Xbox 360 era, agreed with Pachter's prediction during an appearance on the Keely show.

"Microsoft right now, both in terms of stock price and market cap, ...... everything is flying off the shelves," Moore said.

"Satya [Nadella] said, 'Just like we did with the Xbox 360, now is the time. The thirst and desire for an online experience has never been greater. Let's dare Sony to enter the market for $500'. If I had gone back to my old job, that's exactly what I would have done."

Neither Sony nor Microsoft have yet revealed the price of their new game consoles, but that will change soon. Sony is rumored to be holding a major PS5 launch event on June 2, and Microsoft recently announced plans to roll out new information about the Xbox Series X during its monthly Xbox 20/20 live stream series. With only a few months left until the launch of both consoles, the shape of the next-generation console battle should soon become clear.