Why Wall Street expects Bitcoin price to drop to $10,000
- A majority of investors on Wall Street see the Bitcoin price tumbling to $10,000 in a Bloomberg MLIV survey.
- Retail crypto investors are more bearish on crypto than institutions and professionals.
- Kevin O’Leary warned of an impending capitulation event in Bitcoin, arguing we have not seen the bottom yet.
There is an increase in skepticism regarding Bitcoin among investors on Wall Street. 60% of the Bloomberg MLIV Pulse survey respondents believe that the Bitcoin price is heading back to $10,000. Shark Tank’s Kevin O’Leary has also publicly stated his believe that BTC price has not hit bottom yet.
Wall Street expects Bitcoin price to hit $10,000 level
Wall Street expects the Bitcoin crash to get worse, as results from Bloomberg’s MLIV survey revealed that a notable samplet of market participants believe BTC is more likely to hit $10,000 than recover to the $30,000 level. According to 60% of the 950 investors who responded to this survey, Bitcoin price could wipe out its gains and cut its value roughly in half.
Bloomberg reported that investors who participated in the survey had expressed a certain degree of skepticism regarding cryptocurrencies.
Bloomberg MLIV Survey results
Jared Madfes, partner at venture capital firm Tribe Capital, was quoted as saying,
It’s very easy to be fearful right now, not only in crypto but generally in the world. [It reflects] people’s inherent fear in the market.
Kevin O’Leary waiting for a panic event in crypto
In an interview last week, Shark Tank’s Kevin O’Leary shared his views on Bitcoin and crypto. As analysts have predicted, O’Leary was asked whether the Bitcoin price could plummet to $13,000.
Mr.Wonderful said,
It’s impossible to know where the bottom is. I don’t believe we’ve seen the bottom yet and I have a different view of it. I go back again to other asset classes that I have invested in for decades. In every case [...] bottoms are reached with an event, a panic event as I call it, and you can find it in every asset class.
The Shark Tank star argues that the Bitcoin market cap has been cut in half, and this would make investors think we are on our way to the bottom. However, what he is looking for is a big panic event. This event would be characterized by capitulation, massive volume and total panic, which would result into a buying opportunity for the crypto community.
Analysts believe Bitcoin price trend remains bearish
@PostyXBT, a crypto analyst, evaluated the Bitcoin price trend and noted that nothing has changed in the weekly chart. Bulls have a lot of work to do, and the overall Bitcoin price trend is bearish. The 200-week moving average is still resistance for Bitcoin price.
BTC-USDT price chart
To identify what’s next for Bitcoin price as it retests the 200-week MA, check this video:
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
