Does BTC Have a Chance of Dropping to $8,000?

Institutional investors have shown a lot of interest in Bitcoin (BTC).

But Guggenheim has just released one of the most pessimistic Bitcoin price forecasts we've heard.

In a recent interview with CNBC, the firm's chief investment officer Scott Minerd warned that Bitcoin might fall below $8,000 shortly.

This signifies a roughly 70% reduction in value.

Of course, Guggenheim isn't the only Wall Street institution that isn't a fan of cryptocurrencies like Bitcoin. 

However, some investors were taken aback by Guggenheim's abrupt change in perspective.

An analyst's prediction of a 70% loss in the stock market is remarkable. Minerd's latest Bitcoin price projection may have been intended to raise some eyebrows. 

Alternatively, there may be genuine worry underpinning this skepticism.

According to Guggenheim, this decision was made as a result of several interrelated circumstances.

Technically speaking, Minerd points out that the $30,000 level and the $8,000 level have no barriers.

Despite the Federal Reserve's decision to raise interest rates and tighten monetary policy, risk assets face a difficult road ahead. 

This selloff may be more significant for those difficult to value, like BTC.

When it comes to Bitcoin, Minerd believes it will be able to withstand the approaching doom of the crypto industry.

Despite calling other cryptos "crap," he acknowledged that Bitcoin is still a viable currency.

Even while "the dominant player" in crypto may not exist right now, he pointed out that Bitcoin's standing as the biggest and most well-known cryptocurrency may one day be challenged.

The verdict on this will be rendered by the passage of time.

Investors may wish to look at this strategy in the current bear market.