According to a Deutsche Bank survey released on Monday, consumers are growing somewhat less skeptical of bitcoin, although fewer than one-third of respondents still believe that its price will plummet by the end of 2024. 

Cryptocurrency Is Risky

Despite the fact that billions of dollars have been invested in bitcoin in the hopes of profiting from an increase in price, leading regulators have stated that the cryptocurrency is risky and has no intrinsic worth.

According to a poll conducted by Deutsche Bank with over 3,600 participants, 52% of respondents predicted cryptocurrencies would become a “important asset class and method of payment transactions” in the future. In a September 2023 survey, fewer than 40% of respondents stated as much.

According to a third of American respondents, bitcoin will fall below $20,000 by the end of 2024. The size of this group is gradually decreasing. In January it was 36%, while in February it was 35%.

There is now less than 1% of those who believe cryptocurrencies are “just a fad that will eventually fade”. Yet, just 10% of participants believe that bitcoin would surpass $75,000 by the end of the year.

Interest Rate Reduction

On Monday, Bitcoin reached a three-week high. After seeing a sharp decline in 2022, it rebounded to an all-time high of $73,794 in March. Analysts attribute the latest upsurge to enthusiasm surrounding spot bitcoin ETFs and anticipation of interest rate reductions.

The current surge in bitcoin prices above $70,000, according to some observers, indicates that traders are ignoring the cautions.

Aside from regulation, central bank rate reduction, and the assumption that the SEC will permit spot Ethereum ETFs, analysts at Deutsche Bank said they expect the approaching “bitcoin halving” to bolster the price of bitcoin.