Deutsche Bank predicted a Bitcoin return to $ 28,000

The price of bitcoin can recover to the level of $ 28,000 by the end of 2022, experts of Deutsche Bank believe. This is reported by Bloomberg.

According to the Strategists of the Bank Marion Lyubabur and Galina Pozdnyakova, growth will be associated with the rally of the American stock market.

Experts noticed that since November, cryptocurrencies are increasingly correlating with NASDAQ 100 indexes and S&P 500. They believe that these benchmarks will recover to the January levels by the end of the year, extending a bitcoin.

At the time of writing, the price of the first cryptocurrency failed below $ 20,000 and tests $ 19,000.

Deutsche Bank strategists believe that the arguments in favor of Bitcoin as “digital gold” fell apart. Cryptocurrency did not become a safe refuge against the background of the fall of stock markets, physical gold in this regard “behaved better”.

Rather, bitcoin is similar to diamonds – a “high -blown asset”, based mainly on marketing, noted Lyaburn and Pozdnyakov. They recalled that in the 1950s the largest market player De Beers as an advertising campaign was able to change the consumer attitude to precious stones.

“Selling an idea, not a product, they created a strong basis for the industry worth $ 72 billion per year, which has dominated over the past 80 years. What is true for diamonds is true for many goods and services, including bitcoin, ”experts said.

They also indicated some problems that have covered the digital assets market in recent weeks, including the financial failure of some hedge funds and cryptocreators.

Experts believe that the restoration of cryptorrhoids makes it difficult to “lack of general assessment models similar to existing in the public capital system”.

“In addition, the cryptocurrency is very fragmented. The fall may continue due to the complexity of the system, ”added Deutsche Bank strategists.

Recall, according to Arcane Research researchers, the potential for reducing bitcoin price remains to $ 10,350.

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