BTIG keeps $50,000 target on bitcoin, says institutions are buying during rout

• BTIG's Julian Emanuel is keeping his year-end target of $50,000 on bitcoin, despite its wild sell-off.
• Institutional investors were buyers of the currency after it plunged to $30,000, he said.
• Emanuel said the sell-off was in part sparked by new regulations from China, and the potential for U.S. regulations hangs over the crypto market.

Dado Ruvic | Reuters

BTIG's Julian Emanuel is keeping his $50,000 year-end target on bitcoin and says institutions were buyers of the cryptocurrency after its 30% price collapse.

Bitcoin was trading at about $40,000 in afternoon trading, after a wild ride that took it to $30,000, a 30% decline on the day.

Emanuel said when bitcoin hit bottom, there was interest in bitcoin from institutions that had a lower average entry point.

"The fact we're bouncing off $30,000 as hard as we're bouncing speaks to the fact that the institutional investors we are talking to continue to see this as a viable alternative in a diversified portfolio," said Emanuel, BTIG head of equities and derivatives strategy.