Wall Street is predicting a sluggish end to Bitcoin’s(BTC) volatility voes this year. As per a quarterly survey conducted by CNBC, many portfolio managers and equity strategists see Bitcoin ending the year below $30,000.
According to CNBC show, Squawk Box, 44 percent of investors feel the flagship cryptocurrency will trade flatly through the rest of this year and eventually plummet below the support level of $30,000. The channel conducts a quarterly survey on markets that features responses from 100 chief investment officers, equity strategists, portfolio managers, and its own contributors.
The sentiment expressed by respondents was largely bearish since only 25 percent of them indicated that BTC will touch $40,000, while another 25 percent predicted the $50,000 mark. Only 6 percent felt that the largest cryptocurrency could reach $60,000.
Squawk Box’s regular host Andrew Ross Sorkin sided with the investors on the short-term bearish outlook as he sees BTC dropping below $30,000 himself. Although, he predicts that the currency will be above this level over the longer run.
Bitcoin has seen several ups and downs in 2021 so far, with all its rallies and steep declines. At one point the currency was trading at an all-time high of $65,000 in April, following the stimulus from the Fed and other banks. Then it shed nearly half its value when Elon Musk decided to suspend BTC payments at Tesla Motors.
For investors riding the BTC rollercoaster, $30,000 became an imaginary line in the sand, which the currency had to maintain at all costs. But Bitcoin slid below that level for some time in June, before it rebounded to trade at nearly $34,000.
The world’s largest cryptocurrency is also facing intense pressure and scrutiny from regulators as well as environmentalists. Its energy consumption has generated enough press, especially with China pushing for a crypto mining ban. The country has implemented mining-related restrictions in many of its provinces, forcing miners to ship their equipment abroad and look elsewhere to continue their businesses.
Meanwhile, the Bitcoin Mining Council created by Elon Musk and MicroStrategy CEO Michael Saylor, said that the industry was depending on more renewable energy now. In a press statement released on Friday, the global forum claimed that the use of sustainable energy had crossed the 50% threshold.
Previously, Musk had discussed a return to BTC payments at Tesla when Bitcoin miners used 50% clean energy.