Deutsche Bank slams bitcoin on its recent research note

Deutsche Bank completely turned against what is being called now the once-red-hot digital asset, bitcoin, following its historic fall after attaining its all-time high back on April 14 when it climbed to almost $65,000.

The bank recently published a research note entitled “Bitcoin: Trendy is the last stage before tacky,” containing a wide array of criticism that serves as justification for the cold shoulder the financial institution is offering to the leading crypto.

On the note, one analyst pointed out the digital currency’s susceptibility to selling pressure saying, “all it took for the cryptocurrency to fall out of style was one tweet and a Chinese government statement.”

Right on target

The statement by Bitcoinist was an obvious swipe at the fragility of bitcoin exhibited when Tesla Chief Executive Officer Elon Musk announced that the electric car company will stop accepting the crypto as payment because it wasn’t environmentally friendly enough.

Meanwhile, the Chinese government has intensified its crackdown on crypto mining on its soil after initially announcing financial institutions have been banned to participate or get involved in any transaction related to cryptocurrencies.

Such developments ultimately led bitcoin to plunge below $30,000 before making a sporadic recovery, now trading at $35,328 at the time of writing, according to CoinGecko.

Not easy to win them over

Institutions have always been the biggest doubters of Bitcoin and cryptocurrencies into fully becoming an asset class with the 2017 bull run not being enough to win them over and be convinced that digital currencies have the potential for mainstream adoption.

This year, the crypto market saw a roaring start, with milestones such as bitcoin climbing 300% to reach its all-time high and Coinbase being publicly listed at Nasdaq, seemingly earning the nod of Wall Street.

But as it turned out, such victories did not last for a long time.

Image courtesy of Cointelegraph News/YouTube

Source: https://bitcoinerx.com/blockchain/deutsche-bank-slams-bitcoin-on-its-recent-research-note/