Whether it is the rapid ascent of Bitcoin or a massive price drop, there is always something to talk about in the world of crypto. Many experts are using their platforms to talk of potential highs that will occur in the future, while others prophesize the sharp plunge the cryptocurrency will experience in the near future. Among these experts is Scott Minerd, a keen enthusiast of Bitcoin, and expects it to succeed in the long run, has stated that the price of Bitcoin could decline 50% from its current price.
Scott Minerd, Guggenheim Partner’s chief investment officer, remains confident on Bitcoin but warns of the possible plunge the cryptocurrency will take this year. Minerd stated on CNBC that he expects Bitcoin to drop to $30,000 which would be a 50% decline. However, Minerd has remained enthusiastic about the digital currency’s success and has also stated that he remains bullish on Bitcoin and that the cryptocurrency has experienced such declines quite a few times in previous bull runs.
Furthermore, Minerd also stated that he does not expect the decline to expand in the long run, and eventually the prices will go up to $400,000 and $600,000. Due to the history of Bitcoin, such declines are normal in the cryptocurrency, and eventually, it will be corrected.
Several institutions have adopted the use of BTC which has helped fuel this recent bull cycle. Moreover, quite a few large companies including Tesla invested in BTC alongside several financial firms including Mastercard, Goldman Sachs have made moves around cryptocurrency which further fueled the bull cycle. According to Scott Minerd, such massive moves will result in the crash of the bull run since it’s moving quite rapidly.
Furthermore, the rate of Bitcoin’s rise has placed several crypto bulls like Scott Minerd, who warned of a pullback this year. On the other hand, experts in cryptocurrency argue that Bitcoin is once again in a bubble that will soon burst.
Longtime value investor Bill Miller told CNBC that he remains indifferent about the potential bubble Bitcoin will experience. He stated the Bitcoin bubble in 2017 reached a high record and sharply went into decline losing 80% of its value which now is declared as “Crypto Winter”.
Since Bitcoin has seen a new bull run, many are left questioning whether the prices will tumble, and if so then how soon can they be recovered. It will be interesting to see if Minerd’s prediction regarding the plunge of Bitcoin holds true or not. At the time of writing this predicted dip appears to already be forming but whether it will be as dramatic as Minerd is predicting remains to be seen.
