Bitcoin might plummet by 80%!
Financial Path Pioneer
2025-03-25 07:05 Chongqing
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Recently, rumors about Bitcoin potentially plummeting have resurfaced. Some say that Bitcoin might drop 80% from its high, directly falling to around $20,000! This statement has made many investors tense, especially those who are 'all in'; they probably break into a cold sweat upon hearing it. This prediction is actually closely related to the movements of the U.S. stock market, especially the Nasdaq. Coupled with the subtle relationship between various tech tycoons and Bitcoin, the whole situation seems more complex.
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This matter starts with a recent economist named Peter Schiff. He is a seasoned economic commentator who often expresses sharp views on the U.S. economy and various financial markets. This time, he has his eyes on the Nasdaq and Bitcoin, directly throwing out a shocking viewpoint: the Nasdaq could plummet by 40%, and Bitcoin might fall to $20,000. Does that sound a bit scary? But he speaks convincingly, making people ponder seriously.
Peter Schiff's point is simple: the Nasdaq is currently very bubbly, and it can't hold up anymore; it's about to collapse. Just think, tech stocks have risen sharply in recent years, especially 'star stocks' like Tesla and Nvidia, which are actually backed by a bunch of capital tycoons' crazy speculation. He gave an example, saying that Tesla’s owner Musk is a typical capital player. Not only has he driven up Tesla's stock price, but he has also stirred the crypto market. Especially with Bitcoin and Dogecoin, Musk can cause significant price fluctuations just by tweeting. Such a person, who plays with tech stocks while dabbling in crypto, how can the power of capital not be interconnected?
Speaking of Nvidia, this company is also a representative of this round of tech stock bull market. Initially, it turned around its chip sales by relying on cryptocurrency 'mining', and later hitched a ride on the fast track of artificial intelligence (AI), leading to a skyrocketing stock price. In simple terms, artificial intelligence and cryptocurrency have become Nvidia's two core pillars. But how long can these pillars hold? Peter Schiff is skeptical; if the tech stock bubble bursts, Nvidia's stock price might not hold up either, and wouldn't Bitcoin suffer as a result?
The rise and fall of Bitcoin is indeed intricately related to tech stocks. Many people say that Bitcoin's price is heavily dependent on market liquidity. Simply put, when there's more money, Bitcoin rises quickly; when money is tight, Bitcoin tends to fall easily. Tech stocks, as a barometer of the capital market, once they decline, often trigger a tightening of liquidity globally. In such a case, Bitcoin naturally cannot escape the fate of a sharp drop.
Looking back at the political environment in the U.S. also adds some credibility to this crash prediction. Do you remember when Trump was president? He was quite friendly towards tech stocks and cryptocurrencies, so during those years, these two markets experienced a surge. Especially during Trump's campaign, he promised to support the cryptocurrency industry, which prompted many tech tycoons to back him. However, the problem is that this market prosperity is actually highly tied to politics. Once the political wind changes, such as policies no longer supporting these industries, the entire market could quickly decline. At that time, both tech stocks and Bitcoin might suffer, which is not impossible.
Many people might wonder, will the Nasdaq really drop by 40%? There have indeed been similar situations in history. During the internet bubble in 2000, the Nasdaq index dropped by 70% from its peak. At that time, although the internet industry had bright prospects, investors' blind optimism and excessively high valuations ultimately led to a market crash. This kind of 'lesson from history' must make people highly vigilant.
Now let’s talk about the long-term prospects of Bitcoin. Some are bearish, while others are bullish. Bearish people, like Peter Schiff, believe that Bitcoin's price is entirely inflated; the bigger the bubble, the worse the collapse. But bullish people, such as some institutional investors, feel that Bitcoin still has great potential. For example, Standard Chartered predicts that Bitcoin could rise to $200,000 by 2025. Some people are not so optimistic, thinking Bitcoin might first drop to $70,000 before anything else.
In short, the current Bitcoin market is like dancing on a tightrope; even the slightest breeze can trigger significant price fluctuations. As for whether it will rise or fall in the future, it depends on the combined effects of capital, tech stocks, policies, and various other factors.
Many netizens have started to discuss this enthusiastically, and everyone’s opinions are more exciting than the last, even a bit funny. Some people bluntly say, 'Bitcoin drops 80%? Then I might as well run away; my wallet is almost empty, what’s the point of playing this anymore!' This sounds crude, but it’s genuine. After all, many people have invested their savings in Bitcoin; who has the mood to joke around?
Some people are very calm, looking wise: 'Isn’t this the trick of the capital tycoons? First pump up the bubble, then kick it to burst, and we retail investors will end up as leeks.' This guy seems to have seen through everything, with a tone that reveals a sense of helplessness about 'seeing through but not speaking out'.
Others are teasing Elon Musk: 'I’m just waiting for Boss Musk to tweet. Once he tweets, I’ll rush to buy the dip. After all, the 'weather forecast' for Bitcoin is entirely in his hands.' Although this sounds a bit sarcastic, there is some truth to it. After all, Musk's tweets can indeed shake the crypto world significantly.
Some people are quite open-minded: 'If it falls, it falls; anyway, I didn’t buy much, at worst it’s just tuition. Who told us we didn’t understand finance? Joining this excitement is just asking for trouble.' This attitude is rather optimistic, even a bit 'breaking the jar and smashing it'.
Many people are skeptical of Peter Schiff's remarks: 'Isn’t this guy just a master of bearish predictions? He has never been optimistic about Bitcoin, and now he jumps out to make sarcastic comments, probably wanting to see the chaos.' Although this sounds direct, it also reflects the voices of many people. After all, Peter Schiff has always been Bitcoin's 'archenemy', seizing any opportunity to criticize it.
There’s also a particularly interesting voice: 'Even if Bitcoin really drops to $20,000, it’s no big deal. I only have $20 in my pocket, and I’ve long been disconnected from this market.' This self-deprecating humor instantly lightened the atmosphere of the discussion.
There are also 'die-hard fans' in the crypto world who remain unshaken: 'Drop by 80%? That’s just the perfect time to buy the dip! I refuse to believe that Bitcoin will keep falling. This is the future digital gold, and it will eventually rise again.' This firm belief is admirable, but one can't help but feel that they might be a bit too optimistic.
Some people take a neutral stance, trying to dampen everyone’s enthusiasm: 'Stop arguing; no one can predict market matters. Fluctuations are the norm, so no one should think they can predict it accurately. Let’s learn more knowledge and not be cut down like leeks.'
After reading these comments, many people probably feel a mix of emotions. Some are terrified, some are calm like outsiders, while others treat this as a joke. So, whose opinion is closer to the truth?
