Tech billionaire **Peter Thiel**, known for co-founding **PayPal** and **Founders Fund**, has expressed skepticism about **Bitcoin's** (BTC) future price growth.  In a recent **CNBC interview**, Thiel stated that he's unsure if Bitcoin will experience significant price increases from its current level. He questions who will continue buying Bitcoin, especially after the launch of **Bitcoin ETFs**. Thiel, who still holds Bitcoin, regrets not buying more earlier. Despite his doubts, **Founders Fund**, the venture capital firm Thiel co-founded, has made significant profits from Bitcoin investments in the past. The fund bought $1.8 billion worth of Bitcoin before the market crash in 2022 and invested another $100 million in 2023, when Bitcoin was below $30,000.

Tech billionaire Peter Thiel has voiced doubts about Bitcoin&#8217;s (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) capacity for significant price growth while also expressing regret for not purchasing more of the cryptocurrency.
What Happened: Thiel, who co-founded payments giant PayPal and the Founders Fund, expressed skepticism about King Crypto&#8217;s price potential during a recent CNBC interview, saying, &#8220;I&#8217;m not sure it&#8217;s going to go up that dramatically from here. We got the ETF edition, and I don&#8217;t know who else buys it.&#8221;
Thiel, who still holds some Bitcoin, expressed regret for not purchasing more of ...<a href=https://www.benzinga.com/markets/cryptocurrency/24/07/39569413/billionaire-peter-thiel-voices-skepticism-on-bitcoins-future-growth-im-not-sure-its-going- alt=Billionaire Peter Thiel Voices Skepticism On Bitcoin&#039;s Future Growth: &#039;I&#039;m Not Sure It&#039;s Going To Go Up That Dramatically&#039;>Full story available on Benzinga.com</a>

Loading...Loading...Tech billionaire Peter Thiel has voiced doubts about Bitcoin’s BTC/USD capacity for significant price growth while also expressing regret for not purchasing more of the cryptocurrency.What Happened: Thiel, who co-founded payments giant PayPal and the Founders Fund, expressed skepticism about King Crypto’s price potential during a recent CNBC interview, saying, “I’m not sure it’s going to go up that dramatically from here. We got the ETF edition, and I don’t know who else buys it.”Thiel, who still holds some Bitcoin, expressed regret for not purchasing more of the digital currency. “I didn’t buy as much as I should have,” the entrepreneur remarked. See Also: Cathie Wood’s Ark Invest Acquires $7.3M Worth Of Shares In This Promising Netflix Competitor, Sells Off Coinbase Stock Amid Bitcoin SlumpThiel also noted that Bitcoin hasn’t fulfilled its original vision as a cypherpunk, crypto-anarchist, and anti-establishment freedom tool, instead integrating more with traditional finance of late with the launch of spot ETFs. Why It Matters: Despite his doubts, Thiel’s Founders Fund, a venture capital firm established by him, has a significant history with Bitcoin. The fund made $1.8 billion through Bitcoin investments just before the market collapsed in 2022. It then purchased another $100 million in Bitcoin in 2023, when it was trading below $30,000.Price Action: At the time of reporting, Bitcoin is trading at $63,259.56, up 3% over the last 24 hours, according to data from Benzinga Pro.Read Next: Bitcoin May Face Another Correction, Dropping To $55,000, Predicts Crypto AnalystImage Via ShutterstockMarket News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Billionaire Peter Thiel Voices Skepticism On Bitcoin's Future Growth: 'I'm Not Sure It's Going To Go Up That Dramatically'

Peter Thiel Doubts Bitcoin's Future Growth, Despite Past Investments

The **Bitcoin (BTC)** market experienced a significant **decline** on Wednesday, falling to **$60,000** after a **4% drop** in the last 24 hours. This downturn, impacting the broader **crypto market**, can be attributed to several factors:

* **U.S. Spot Bitcoin ETFs** recorded $13 million in **outflows** after a five-day streak of inflows. 
* **Mt. Gox**, a defunct crypto exchange, is expected to release **140,000 BTC** this week, potentially creating **selling pressure** in the market. 
* **Election-themed meme tokens**, such as **Joe Biden-themed BODEN**, have suffered significant **losses** due to declining interest and uncertainty. 

Despite the recent downturn, the **crypto industry** is experiencing a **growth phase**, with the industry value increasing by over **$750 billion** in the first half of the year, according to **Architect Partners**. The report highlights the **disruptive nature** of crypto and its similarities to the internet, suggesting a **fast recovery** from the crypto winter.

The latest price moves in crypto markets in context for July 3, 2024.

Bitcoin Falls to $60K as Mt. Gox Overhang Looms - First Mover Americas

The **Bitcoin** price has taken a dip, falling below **$60,000** and registering a **3.88%** decline. This downturn has led to a surge in liquidations, with over **$8 million** worth of long positions being liquidated. This drop coincides with **Federal Reserve Chair Jerome Powell**'s recent statement that cutting rates too soon could "undo the good work we've done to bring down inflation." This suggests a more cautious approach to rate cuts, which could further impact the **crypto market** and contribute to the ongoing bearish sentiment.

U.S. rate cut soon? Unlikely. The Fed Chair Powell said if rates are cut too soon it might "undo the good work we've done to bring down inflation."

Bitcoin Slumps Below $60,000 as Liquidations Surge

The **secured overnight financing rate (SOFR)**, which measures the cost of borrowing overnight using U.S. Treasury securities as collateral, has surged to a six-year high. This indicates **liquidity stress** in the U.S. banking system, a concerning trend for markets in the short term.  **David Brickell**, head of international distribution at **FRNT Financial**, believes this stress could **weigh on risky assets** like Bitcoin (BTC). This spike in SOFR mirrors the situation in 2019, where the Fed intervened with liquidity injections after a similar surge in repo funding rates. Brickell suggests the Fed might need to **restart liquidity injections** through quantitative easing to address the strain caused by excessive government debt and Treasury bill issuance. This potential intervention could benefit Bitcoin, similar to its role in the **coronavirus-induced crash of March 2020**. However, Bitcoin's recent 13% decline in the past 30 days, decoupling from the Nasdaq rally, suggests **tough times ahead for stocks** and potentially for Bitcoin as well.

The secured overnight financing rate surged Monday, a sign of liquidity stress in the U.S. banking system.

Liquidity Stress in US Banking System: What Does It Mean for Bitcoin?

Bitcoin (BTC) has dipped below the crucial $60,000 level, marking a continuation of its downward trend that began in June. The price drop is attributed to two primary factors: **potential Mt. Gox creditor repayments** and **massive whale sales**. The **potential release of $9 billion worth of BTC** from Mt. Gox, a defunct exchange, has triggered fears of a sell-off as creditors look to recover their funds after a decade. Additionally, a **large Bitcoin whale has dumped $180 million worth of BTC** in a short period, contributing to the price decline.  While the influx of institutional money into Bitcoin ETFs, reaching over $52.5 billion since January, could potentially absorb the Mt. Gox payout, the market remains cautious about the potential impact of both events on Bitcoin's price trajectory.

Bitcoin has been in a downtrend since the beginning of June, struggling to gain upward momentum despite positive ETF inflows.

Bitcoin Plunges Below $60K: Mt. Gox Repayments, Whale Sales Fuel Decline

Despite a recent market lull, crypto venture capital sentiment is improving, with Galaxy Digital reporting a more active fundraising environment in Q2. **Web3, Layer 1s, and Bitcoin Layer 2s** were the most significant investment categories for the quarter. **Galaxy Digital** reported that venture capitalists invested **$3.19 billion** into crypto and blockchain-focused companies in Q2, a slight increase from the previous quarter.  This growth was driven by a surge in early-stage deals, accounting for **78%** of the total investment capital.  While the **U.S.** continues to dominate the crypto venture market, regulatory headwinds could force companies to relocate abroad. Despite a **multi-year correlation between bitcoin’s price and venture capital investments breaking down this year**, the analysts anticipate a return of investors, potentially leading to increased venture capital activity in the latter half of the year.

Web3, Layer 1s and Bitcoin Layer 2s were the most notable investment categories for the quarter, according to Galaxy’s analysts.

Crypto Venture Capital Sentiment Improves Despite Market Lull: Galaxy Digital

Standard Chartered, a multinational bank, has predicted that **bitcoin could reach a new all-time high in August** and **surge to $100,000 by the US presidential elections in November 2024**. This bold prediction comes from Geoffrey Kendrick, head of forex and digital asset research at Standard Chartered, who previously predicted Bitcoin would reach $150,000 by the end of 2024 and $200,000 by 2025.  Kendrick also sees **President Joe Biden's decision to run again as a “fantastic buying opportunity” for Bitcoin investors**. However, he believes Bitcoin could fall to $50,000 if Biden steps down or is replaced by alternative candidates like Michelle Obama. He also noted that **Bitcoin regulation and mining would be viewed more favorably under former President Donald Trump**.  **Political events, especially US elections, can significantly influence the crypto market**, emphasizing the need for investors to stay informed about political and economic developments that might impact the value of Bitcoin and other digital assets.

Standard Chartered forecast: Bitcoin could explode in August and reach $100,000 before the 2024 US elections.

Bitcoin to Hit $100,000 Before 2024 US Elections? Standard Chartered Predicts Surge

Bitcoin's price dipped below $61,000, marking a **3.82% decline** in the past 24 hours. This drop is attributed to the looming **repayments from the Mt. Gox Bitcoin exchange**, which could impact the market significantly. **QCP Capital** predicts that the **overhang of up to 140,000 BTC** from these repayments will continue to **weigh down market sentiment**. This influx of Bitcoin could **increase selling pressure** and contribute to further price declines. Other cryptocurrencies are also seeing **negative price movements**, with Ethereum (ETH), DOT, BNB, and SOL experiencing similar drops.

"This overhang of up to 140,000 BTC should continue to weigh on markets," QCP Capital said of the impending Mt. Gox repayments.

Peter Thiel Doubts Bitcoin's Future Growth, Despite Past Investments

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Other Latest News

Bitcoin Falls to $60K as Mt. Gox Overhang Looms - First Mover Americas

Bitcoin Slumps Below $60,000 as Liquidations Surge

Liquidity Stress in US Banking System: What Does It Mean for Bitcoin?

Bitcoin Plunges Below $60K: Mt. Gox Repayments, Whale Sales Fuel Decline

Crypto Venture Capital Sentiment Improves Despite Market Lull: Galaxy Digital

Bitcoin to Hit $100,000 Before 2024 US Elections? Standard Chartered Predicts Surge

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Other Latest News

Bitcoin Falls to $60K as Mt. Gox Overhang Looms - First Mover Americas

Bitcoin Slumps Below $60,000 as Liquidations Surge

Liquidity Stress in US Banking System: What Does It Mean for Bitcoin?

Bitcoin Plunges Below $60K: Mt. Gox Repayments, Whale Sales Fuel Decline

Crypto Venture Capital Sentiment Improves Despite Market Lull: Galaxy Digital

Bitcoin to Hit $100,000 Before 2024 US Elections? Standard Chartered Predicts Surge

Bitcoin Drops Below $61,000 as Mt. Gox Repayments Loom