The chief investment officer of investment giant Guggenheim has repeatedly warned that Bitcoin (BTC) will crash to $ 20,000.
In an interview with CNBC on April 20, Scott Minerd warned again that a pullback could cause Bitcoin to lose half its value.
Well-known Bitcoin bear target resurfaces
“Considering the huge move we’ve had in bitcoin in the near term, things are very frothy, and I think we’ll have to have a major correction in bitcoin,” Minerd told the network.
Bitcoin lingered near USD 55,000 on Wednesday after bouncing back from USD 52,000 in the latest slump of its 2021 bull market.
For Minerd, who last claimed that BTC / USD would return to $ 20,000 in January, such an event would be part of the ups and downs of a normal market cycle. His long-term forecast of $ 400,000 per Bitcoin still stood, he said.
“I think we can pull back to $ 20,000 to $ 30,000 on bitcoin, which would be a 50% drop, but the interesting thing about bitcoin is we’ve seen these kinds of drops before,” he continued.
Minerd, who previously sparked controversy over his BTC price comments, wasn’t alone in his short-term bearish forecast. As Cointelegraph reported, JPMorgan analysts also hit the alarm this week, with concerns centered on futures markets.
A full average BTC drop
In response, Bitcoin advocates rejected any idea that deeper losses were inevitable, citing a combination of factors, including strong on-chain indicators.
“Wrong,” Morgan Creek Digital co-founder Anthony Pompliano responded to Minerd.
On January 20, the executive had claimed that Bitcoin had been on a price stop for the rest of the year. Since then, BTC / USD has more than doubled.
“In 2017, the average BTC Bull Market correction lasted 16 days. This most recent downturn lasts only 7 days,” said popular Twitter account Rekt Capital noted about the current price action.
“So while corrections usually take a few weeks … They are very short in the larger chart of the overall bull market.”