Guggenheim Partners founder Scott Minerd is offering a bleak short-term outlook on Bitcoin’s price action.
Minerd says that he sees a breakdown in Bitcoin’s price, considering that BTC has tapped its immediate support multiple times.
“A technician’s rule to remember with Bitcoin: ‘Every time a support level is tested it becomes weaker.’ That would mean support for $30,000 may soon fail.”
Last month, the Guggenheim Partners executive predicted that Bitcoin would plunge over 50% from its current price of around $31,000 before bottoming out.
“Every major run-up in Bitcoin, there has been about an 80% crash. Now, that would make a lot of sense in a lot of ways because that would bring us back into the neighborhood of $15,000.
I’ve been saying between $20,000 and $30,000. The real bottom when you look at the technicals is $10,000, and you know that’s sort of extreme – I would say $15,000.”
Although Minerd is short-term bearish on the leading crypto asset, he said in February that BTC can potentially soar 20x from its current value if it manages to match the market capitalization of gold.
“And if you consider the supply of Bitcoin relative … to the supply of gold in the world, and what the total value of gold is, if Bitcoin were to go to those kinds of numbers you would be talking about $400,000 to $600,000 per Bitcoin.”