Global oil prices could hit $380 a barrel, said JPMorgan analysts. They warned that supply will continue to plunge if G7 countries insist on the sanctions previously implemented to Russia in response to the geopolitical crisis in Ukraine. Moscow could retaliate by cutting oil output as it can afford to reduce daily oil production by 5 million barrels, thanks to the country's current financial position.

The highest price of oil was $147, which was hit last 2008.

Such a scenario would be disastrous as a 3 million barrel cut in daily supplies would push oil prices up to $190 in London. Meanwhile, a 5 million barrel cut would raise prices to $380.

In this regard, traders should take long positions in order to raise prices to yearly highs.