Guggenheim Partners’ Chief Investment Officer Scott Minerd talked a lot about the crypto sector. This included predicting a possibly depressing period for Bitcoin and other cryptocurrencies.
Bitcoin bear Minerd said there’s a lot more downside to crypto after the market plunged. He mentioned this in an interview with CNBC’s official YouTube channel.
Possible bleak future for Bitcoin
Minerd shared his recent predictions on the bleak future for Bitcoin and the crypto sector. He talked in an interview at the World Economic Forum in Davos, Switzerland.
He shared his opinion on the recent crypto market decline saying, “We are seeing crypto collapse the way it is. I think it’s got more downside.”
When asked how much more downside, he said the technicals have been better than any other cryptocurrency, it could hit $8,000 as the rock bottom.
“…so I think we have a lot more room to the downside, especially with the Fed being restrictive,” he said.
“Most cryptocurrencies are garbage”
He also said that most cryptocurrencies are not entirely “currencies but are just junk”.
Noting that there are a total of 19,000 cryptocurrencies in the world, but “the majority of crypto is garbage. So, there are going to be survivors.”
When asked whether Bitcoin can be considered junk, he immediately replied that he thinks both Ethereum and Bitcoin will be survivors.
He, however, said he had not seen any dominant player in crypto at the moment, noting that the crypto industry as of the current is “like the Internet bubble”.
The Internet bubble is referred to as the dot-com sphere in the early 2000s, in which he said nobody could predict who or what site would become the winner.
Minerd is not the only one who predicted a bleak future for Bitcoin and other cryptocurrencies. Just last month, BitMEX co-found Arthur Hayes, said the “crypto industry could get much worse as he anticipates Bitcoin’s price plummeting all the way to $30,000 and dragging other cryptocurrencies down with it.”