Reza Bundy, CEO of investment advisory firm Atlas Capital, delivered a stark warning for bitcoin investors at the Proof of Talk conference in Paris. He predicted that the world's largest cryptocurrency could lose as much as 70% of its value within the next six months, potentially falling to a range of $26,000 to $30,000.
Bundy’s bearish outlook is rooted in macroeconomic vulnerabilities and historical market patterns. He argued that even if the stock market corrects by only half the magnitude of the 2008 financial crisis, bitcoin could experience a drop twice as severe due to its inherently higher volatility. Bundy also noted that bitcoin has failed as an inflation hedge and now moves more like a tech stock, echoing sentiments from other investors like Mark Cuban.
Atlas Capital was co-founded by renowned economist Nouriel Roubini, known as "Dr. Doom" for his accurate prediction of the 2008 subprime mortgage crisis. While Roubini remains a long-term bitcoin skeptic, Bundy parts ways on the long-term outlook. He outlines four possible economic scenarios, with the most probable (40%) being a "Controlled Expansion" that could push bitcoin to $150,000–$250,000. A less likely "Fiscal Dominance" scenario (25%) could drive prices to $250,000–$500,000.
Despite the grim near-term forecast, Bundy's firm is not rushing to exit the market. Atlas Capital’s ETF (USAF) currently holds no bitcoin, but the CEO plans to tokenize the fund on public blockchains and will decide on allocation after the expected correction. The remarks highlight the extreme dichotomy in bitcoin analysis: short-term pain versus long-term promise.
