With the price of bitcoin currently below $30,000, Scott Minerd, the chief investment officer of global investment giant Guggenheim Partners, believes BTC’s value could further dip to $8,000.
Bitcoin price could fall to $8,000
Minerd made the bearish prediction Monday, May 23, 2022, during an interview on CNBC’s Squawk Box at the World Economic Forum (WEF) annual meeting in Davos, Switzerland.
According to the Guggenheim executive, bitcoin’s constant slip below the $30,000 level could cause the cryptocurrency to fall to $8,000, which signals a fall of more than 70%. Minerd said:
“When you go below 30,000 [dollars] constantly, 8,000 [dollars] is the ultimate bottom, so I think we have a lot more downside room, especially with the restrictive Fed.”
According to a recent report by CryptoPotato, bitcoin has continued to close the weekly candle in red for eight consecutive weeks. The cryptocurrency’s price decline has led to the BTC Fear and Greed Index to remain at “extreme fear.”
Meanwhile, this isn’t the first time the Guggenheim CIO has predicted bitcoin’s price decline. In July 2021, Minerd said that BTC could dive to $15,000. In April of the same year, the executive predicted that the price of bitcoin could correct to $20,000, when the asset was at $65,000, before returning to around $55,000.
However, Minerd earlier made bullish predictions stating that bitcoin could reach between $400,000 and $600,000. It’s worth noting that he has seen little-to-no success with his previous forecasts.
MicroStrategy CEO and Founder Michael Saylor continues to make bold predictions for bitcoin despite falling crypto prices. According to Saylor, who has remained unfazed by the ongoing bloodbath in the cryptocurrency market, he expects BTC to “hit millions.”
No Dominant Player in Crypto Yet
Despite the Guggenheim CIO’s recent bearish BTC price prediction, the executive said that only bitcoin and ethereum, two of the largest cryptocurrencies by market capitalization, will survive long term. Minerd noted that most crypto assets are “junk” rather than currencies.
Even with BTC and ETH dominating the market, the CIO believes that crypto does not yet have a dominant player. Minerd added that there is not yet a “good prototype for crypto.”
According to the executive, the ideal cryptocurrency will need to be a medium of exchange, a store of value, and a unit of account. However, Minerd believes most of the existing crypto tokens fail to pass any of the criteria.
