After the listing of spot ETFs, Bitcoin fell into a "continuous decline" trend. It once fell below $39,000 on Tuesday, falling more than 20% from the high hit earlier this month. However, Bitcoin prices are now back above $39,000. However, even after experiencing such a large decline, many retail investors still believe that Bitcoin will fall further by the end of this year, according to a survey report by DeutscheBank. The report said that most of the funding for ETFs comes from retail investors.
The report shows that more than one-third of the respondents believe that Bitcoin will fall below $20,000 by January next year. Only about 15% said they expected Bitcoin to rise to between $40,000 and $75,000 by the end of the year.
On the 12th of this month, the U.S. Securities and Exchange Commission (SEC) approved the first batch of spot Bitcoin ETFs, pushing the price of Bitcoin to $49,000, the highest level since March 2022. Since then, however, the price of Bitcoin has fallen by more than 20% and is currently hovering around $39,000.
Deutsche Bank analysts Marion Laboure and Cassidy Ainsworth-Grace said the new spot Bitcoin ETF is expected to expand the institutionalization of this digital asset.
The survey, conducted from January 15 to January 19, asked 2,000 people in the United States, United Kingdom and Eurozone about their views on Bitcoin price and volatility.
On the other hand, most Wall Street professionals are not optimistic about the world's largest cryptocurrency. For example, Jamie Dimon, the CEO of JPMorgan Chase, who is widely recognized as the "Big Brother on Wall Street", recently reiterated his criticism of Bitcoin, saying that owning the cryptocurrency is like owning a "pet rock."
Dimon said he believes there are two types of cryptocurrencies: those that might actually “do something” and be traded as a store of value, and those that do nothing. Dimon said Bitcoin falls into the second category.
David Rosenberg, a top U.S. economist and president of Rosenberg Research, warned that Bitcoin and other cryptocurrencies are highly volatile and difficult to value, and buying them is more like gambling than investment.
He noted, “Buying Bitcoin is like buying a lottery ticket.”