Despite a robust present on Wall Street on Monday, the world’s largest cryptocurrency Bitcoin (BTC) failed to maintain the $30,000 degree. As of press time, Bitcoin is buying and selling 2.82% down at a worth of $29,226 with a market cap of $557 billion.
On Monday, May 23, Guggenheim Chief Investment Officer Scott Minerd spoke to CNBC including that the Bitcoin worth might drop additional to $8,000 from right here. This means, there’s a chance of greater than 70% correction from the present ranges. During his interview with CNBC on the World Economic Forum in Davos, Switzerland, Miner mentioned:
“When you break below 30,000 [dollars] consistently, 8,000 [dollars] is the ultimate bottom, so I think we have a lot more room to the downside, especially with the Fed being restrictive”.
Note that final 12 months in July 2021, Minerd had additionally predicted BTC to contact $15,000 on the backside of the sell-off. However, Bitcoin proceeded on hitting its all-time excessive of $69,000 later that 12 months.
The Bitcoin worth has been heading decrease regardless of a robust present on Wall Street on Monday. On-chain knowledge supplier Santiment explains:
Bitcoin dropped -4.0% Monday after a stable day from the #SP500. These two have fluctuated tightly all through 2022, and this separation could also be attributable to $BTC resistance at $30k. If #equities proceed upward, although, count on good issues for crypto.
Scott Minerd: Most of the Cryptocurrencies Are Junk
Commenting on the state of the broader crypto market, Guggenheim CIO Scott Miner mentioned that a lot of the cryptocurrencies are junk. “I don’t think we’ve seen the dominant player in crypto yet,” he added.
This month, the crypto market has witnessed the main collapse of the Terra ecosystem in a matter of every week eroding greater than $40 billion price of buyers’ wealth from the market. Moreover, a number of of the highest ten cryptocurrencies have corrected anyplace between 50-60% this 12 months alone.
Minerd added that any foreign money ought to both go the check of being both a medium of change, retailer of worth, or unit of account. Neither of the cryptocurrencies reveals these traits, mentioned Minerd. “I don’t think we have had the right prototype yet for crypto. None of these things pass, they don’t even pass on one basis,” he added.
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