- Vineet Budki predicts Bitcoin could drop 70% in downturn.
- Long-term Bitcoin target is $1 million within a decade.
- Potential impact on institutional holders if forecast realized.
Sigma Capital CEO Vineet Budki recently warned at the Global Blockchain Congress in Dubai that Bitcoin could drop 70% despite a long-term target of $1 million per BTC.
The warning reflects ongoing debates over Bitcoin’s future, highlighting potential market volatility and impacting institutional and retail investors’ strategies.
Vineet Budki, at the Global Blockchain Congress 2025, projected Bitcoin’s potential decline, citing a lack of understanding of BTC’s utility among investors. He emphasized that utility and adoption will be primary drivers of its long-term value.
Potential Impacts and Historical Trends
The potential 70% drop in Bitcoin’s price could significantly affect large institutional holders and exchanges. Such a decline might lead to reduced speculative capital and curtailed crypto VC funding due to diminished investor confidence.
Financial implications include direct vulnerability for BTC and potential impacts on ETH and altcoins, following a severe liquidity event. Historical examples indicate similar conditions leading to sharp declines in DeFi assets.
Vineet Budki, CEO, Sigma Capital – “Bitcoin will not lose its utility if it comes down to $70,000. The problem is that people don’t know its utility. And when people buy assets that they don’t know and understand, they sell them first. That is where the selling pressure comes from… Bitcoin will reach $1M or more per coin within the next 10 years.”
Historical trends show that when Bitcoin experiences significant corrections, related digital assets like ETH and SOL often follow. Total Value Locked (TVL) typically suffers, with sharp declines in liquidity and DeFi collateralization.
Potential financial and technological outcomes could include institutional retrenchment and reduced DeFi activity. Historical data shows previous major BTC corrections, such as in 2014, 2018, and 2022, led to systemic financial stress throughout the crypto markets.
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