The decline of bitcoin over the last several weeks has raised concerns among investors in the space. The digital asset which had peaked at $69,000 had declined as low as $17,600 and continues to struggle to hold $20,000, dragging investor sentiment down with it. This same sentiment was shared by a polled group of Wall Street investors regarding how they viewed the digital asset. Mostly, investors do not see any bullish movement in the near future.
Majority Says Bitcoin Is Going Down
Out of the 950 respondents that were surveyed by MLIV Pulse, the majority revealed that they were not expecting any significant recovery for bitcoin. The digital asset is currently trading above $20,000 but these investors believe that it will likely crash further. A total of 60% of all respondents said they expected the price of bitcoin to actually decline to $10,000. Furthermore, they believe that this price point is more likely compared to the digital asset’s price hitting $30,000.
Related Reading | Decline In Bitcoin Miner Revenues Suggests More Sell-Offs May Follow
This same school of thought has been echoed by many in the space, especially on social media. However, it was not the only sentiment that was present in the investors surveyed. Despite the majority feeling the digital asset would succumb further to the bear market, there were still some who believed that there are more positive things coming.
The remaining 40% of the survey pool gave their more bullish predictions. This section of the pool admitted that they expected the price of bitcoin to actually hit $30,000 before it will hit $10,000. Interestingly, the large majority of investors with positive reviews of the cryptocurrency were the more seasoned investors.
BTC trading at $20,546 | Source: BTUCSD on TradingView.com
These professional investors were more likely to believe that cryptocurrencies are the future and even when they were not investors and remained skeptical, they were more open-minded towards cryptocurrencies compared to their less experienced counterparts.
Is $10,000 Possible?
Given how the previous bitcoin bear markets have gone, it is no surprise to see that the majority of investors actually expect the price of the digital asset to fall to $10,000 before it makes any major recovery. A historical look shows that bitcoin has consistently lost more than 80% of its all-time high value in every bear market and if it continues to follow this trend, then $10,000 remains a likely level to hit.
Related Reading | Bitcoin Drops Below $22,000, Is Peter Brandt’s Analysis Still In Play?
However, it is important to note that bitcoin has deviated severally from ‘established’ trends that have become associated with it. One is the multiple bull rallies of 2021, the likes of which have never been seen before. It had brought more interest to the space and in turn, brought more money which is more likely to hold up the price.
Another thing is that the price of the digital asset has fallen below its previous cycle high, although this is more bearish than bullish for the future of the digital asset. Nevertheless, it’s a sign of the continued deviations and there remains a possibility that not losing 80% of its all-time high value is another deviation bitcoin might make.
Featured image from Forbes, charts from TradingView.com
Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet…