Crypto News

Deutsche Bank Survey Reveals Investors Belief That Bitcoin Is An ‘Extreme Bubble’

Deutsche Bank published a survey on Tuesday in which they asked 627 investors to rate assets from a scale of zero to 10 based on how they view their financial bubbles. Results showed that Bitcoin is seen as the most extreme bubble with an 8.7 out of 10. Half of the respondents rated a 10 on the scale.

US tech stocks were next highest on the list with a 7.9 out of 10 and 83% of respondents rating it a seven or higher. European equities were at the bottom of the list with Asian equities and non-tech US equities just above them.

Furthermore, the survey revealed many view Bitcoin and Tesla stock are more likely to drop than rise this year. According to Deutsche Bank, “When asked specifically about the 12 month fate of Bitcoin and Tesla — a stock emblematic of a potential tech bubble — a majority of readers think that they are more likely to halve than double from these levels with Tesla more vulnerable according to readers.”

Bitcoin has risen 9% since the beginning of the year and 66% since December. Ultimately setting an all-time high on January 8. But it has since fallen by as much as $10,000 and is currently trading around $32,000. Likewise Tesla’s stock has also risen recently, up almost 16% since the beginning of the year and 48% since December.

Despite the bubble perception, investors are torn as to what could ultimately pop those bubbles. 71% of investors said they don’t believe the Federal Reserve will tighten policy by the end of 2021. Although 25% think economic growth could force the government’s hand.

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Corey Hansford CoinChapter
Corey Hansford

Corey has been involved in media and writing since graduating from the illustrious Howard University with a degree in Broadcast Journalism. While relatively new to the cryptocurrency world, he has been writing since 2012 with most contributions coming in the sports world on websites such as LakersNation.com and DodgerBlue.com. Corey is also an avid sports fan who closely follows the Lakers, Cowboys, Dodgers, WWE, and UFC.

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