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Director: $20 oil wouldn't surprise me

Oil prices will likely continue to tumble amid a global oversupply, Ed Morse, Citi global head of commodities research and managing director, said on Monday.

"I would not be surprised to see a $20 handle," Morse told CNBC's "Power Lunch."

Bearish factors for oil include less demand and increasing supply once Iran joins the market later this year.

"There will be a comeback, and the question is timing and what kind of risk profile you're looking at," he said. "There are a couple of really fundamental bullish factors in the market that could bring really significant rewards for those who want to look at those opportunities."

One of those factors is a lack of spare capacity from Saudi Arabia.