Bitcoin expected to drop to $10,000 rather than $30,000

Investors on Wall Street predict that Bitcoin will depreciate significantly in the near future, believing that the token is more likely to hit $10,000 rather than climbing back to $30,000, reducing its worth by almost half.

Bitcoin’s value has dropped by more than two-thirds since it reached around $69,000 in November. However, since September 2020, the cryptocurrency hasn’t traded for less than $10,000.

The uneven prediction underscores how bearish investors have become. The crypto industry has been rocked by troubled lenders, collapsed currencies, and an end to the easy money policies of the pandemic that fueled a speculative frenzy in financial markets.

The crypto crash is likely to put further pressures on governments to step up regulations of the industry. Such supervision is seen as positive by the majority of respondents, since it could improve confidence and lead to broader acceptance among institutional and retail investors.

But neither the recent price drops nor the potential challenge from central banks are expected to significantly upend the industry by dethroning the two dominant tokens, Bitcoin and Ether. A majority of respondents anticipate that one of those two will remain a driving force in five years even while a significant share sees central bank digital currencies taking on a key role.