Guggenheim Partners’ Chief Investment Officer Scott Minerd has a new prediction done about the price of bitcoin (BTC)† He has indicated that he thinks bitcoin could dip towards $8,000, a level we last saw two years ago.
Could This Bitcoin (BTC) Prediction Be Right?
Minerd’s pessimistic view of the market, however, would not make perfect sense. In the past two bitcoin cycles, we have seen the price drop just over 80%. If that happens again, the price will move towards $12,000 to $14,000.
Should the price want to fall towards $8,000, that would be an 88% drop, something we have not seen before in the past two bitcoin cycles. The hardest drop we’ve seen from the peak was 84% in 2018 and another in 2014.
Not only did he indicate that he thinks bitcoin will fall sharply, he also said in an interview with Bloomberg Television that the current market is full of idiots. This may be a reference to what happened to the Terra stablecoin and LUNA has happened.
“No one has cracked the paradigm in crypto. We have 19,000 digital currencies… most of them are junk.” he added.
This prediction is the exact opposite of what Minerd a year ago said about the bitcoin price. In an earlier interview with CNN, he indicated that bitcoin could rise to $400,000 to $600,000 and that that is the real value of bitcoin.
Guggenheim would be on $20,000 bitcoin have bought, but later sold this position at $40,000. At the moment they no longer own bitcoin.
Small chance of a big drop in bitcoin
Should the price drop to $8,000, it would mean that large companies such as MicroStrategy and Tesla are making extremely large losses. Together, these two parties have bought approximately $5 billion worth of bitcoin, or 172,418 BTC. In addition, the country of El Salvador will be in big trouble.
Still, Crypto Insiders analysts believe that bitcoin may indeed fall further than we currently stand. All technical analyzes of bitcoin and other cryptocurrencies from our analysts are shared with our members in the Premium environment of Crypto Insiders. Would you also like to receive technical analyses? Then take free a look in our Premium environment.
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