Anthony Pompliano, CEO of Professional Capital Management, stated on Tuesday that Bitcoin's ongoing slump represents volatility that will eventually catalyze strong returns once the price rises. During an interview with CNBC, Pompliano argued that volatility is not inherently bad and that the best investors actively pursue volatile assets. He highlighted that AI-related investments are currently delivering upside volatility, while Bitcoin is offering downside volatility.

"As we go over the next couple of years, both these assets are going to be very volatile, and that’s ultimately where returns are going to be," the Bitcoin bull said. Pompliano reiterated his position of buying assets before they are in favor, arguing that if a position is non-consensus, one should hold the asset as it becomes consensus.

Prediction Market Sentiment

Despite Pompliano's bullish bias, cryptocurrency bettors on Polymarket are increasingly bearish. As of this writing, the Polygon-based platform assigned a 62% chance of Bitcoin sliding below $50,000, up from 43% a month ago. Bearish expectations have intensified, with the odds of Bitcoin falling below $45,000 rising to 45%, while the probability of a move below $40,000 jumped to 30%.

The following table summarizes the betting probabilities on Polymarket:

Over $45 million has been wagered on the outcome, making it one of the most keenly watched bets on the platform.

Current Price Action

At the time of writing, Bitcoin was exchanging hands at $58,863.61, down 0.98% in the last 24 hours, according to data from Benzinga Pro.

The cryptocurrency investment landscape is undergoing a significant structural shift, with capital and development focus moving aggressively toward stablecoin infrastructure and away from Bitcoin. Bitcoin is currently trading below its $65,000 price support level, a sharp decline from its highs, with some analysts projecting a drop to $25,000. Institutional investors have recorded their first negative inflows into Bitcoin since 2023, prompting a reassessment of the asset's role versus the rising utility of stablecoins.

Stablecoins gain market dominance

Stablecoins are increasingly viewed as the first genuine commercial use case for blockchain technology, offering a stable medium of exchange that Bitcoin cannot guarantee due to its volatility. According to data published by Visa, the global fiat-backed stablecoin supply exceeded $273 billion in March 2026, representing a 40-fold increase from $6.8 billion in March 2020.

A report published by McKinsey & Company in July 2025 predicts that stablecoin transactions will surpass legacy payment volumes in less than a decade. The report identifies stablecoins as a genuine contender to satisfy new payment needs, achieving market fit by expanding access through wallet-based infrastructure rather than traditional account-based systems.

Infrastructure and venture capital focus

The shift in investment themes is evident in the venture capital community. In April, Bessemer Venture Partners highlighted that stablecoins have evolved from a decentralized finance (DeFi) liquidity layer into a core component of global digital finance infrastructure. The firm noted that the core attributes driving this adoption include low cost, borderless transfer, 24/7 availability, self-custody, and programmability.

Startale Group, a Japan-based firm with partnerships from Sony Group and SBI Holdings, raised $63 million in March 2026 to expand stablecoins, tokenized securities, and blockchain financial infrastructure. Sota Watanabe, CEO of Startale Group, emphasized that businesses adopt new financial infrastructure to improve the efficiency of moving and managing money, rather than for speculative returns.

Bitcoin's uncertain role

While stablecoins build the rails for modern digital finance, Bitcoin's future utility remains a subject of debate. Mark Zalan, CEO of GoMining, suggested that Bitcoin could piggyback on the stablecoin infrastructure being built for payments. He argued that businesses solving custody and compliance for stablecoins have already built the foundation required to support Bitcoin payments, making the addition of a second asset far cheaper.

However, skepticism remains. Michal "Mehow" Pospieszalski, CEO of AmericanFortress, stated that Bitcoin "sucks at payments" and noted that Ethereum-compatible networks host significantly more payment rails using stablecoins than UTXO chains like Bitcoin. Meanwhile, Arthur Hayes, co-founder of BitMEX, has reiterated a price target of $250,000 for Bitcoin in 2026 and $500,000 to $750,000 by the end of 2027, contingent on the Federal Reserve "printing money."