Bitcoin has been this year in a bear market. This has driven the sentiment towards cryptocurrencies to the lowest points in months, and the market feels that. Bitcoin retraced 70% from its all time high in December 2017. But for some institutional investors this is the best moment to buy bitcoin again and wait for the next bull run.
Institutional Investors Ready to Invest in Bitcoin
According to Thomas Lee, head of research of Fundstrat Global Advisors LLC, there are some important institutional investors that may be ready to invest in the cryptocurrency market. As he explains, some days ago he helped some Chinese investors buying 200k in bitcoin.
“A couple of days ago, I helped set up a 200k BTC transaction for Chinese buyers. Soros, etc, are coming in, we will now see the start of the real bubble,” commented Mr Lee.
George Soros announced some time ago that he authorized his enterprise to start trading digital assets. His company manages more than $25 billion dollars.
Another important figure that predicted Bitcoin to reach new levels was John McAfee, that explained that Bitcoin reaching $20,000 during this year is ‘absurdly low.’
Mr. McAfee wrote:
“The ‘experts’ who doubt my 12/2020 Bitcoin price prediction forget that as crypto grows, huge devaluations of Fiat will occur. No one who understands crypto doubts that the U.S. dollar will have zero value in 10 years. Why then not accept a 500% devaluation in 2 and a half years?”
The "experts" who doubt my 12/2020 Bitcoin price prediction forget that as crypto grows, huge devaluations of Fiat will occur. No one who understands crypto doubts that the U.S. dollar will have zero value in 10 years. Why then not accept a 500% devaluation in 2 and a half years?
— John McAfee (@officialmcafee) April 14, 2018
Mike Novogratz, former principal and macro fund manager at Fortress Investment Group, paused his cryptocurrency hedge fund back in December 2017, after bitcoin reached $20,000. At that moment, he explained that Bitcoin could reach again $8,000 dollars (and it happened).
It may be a good moment to start thinking about setting up his crypto hedge fund now that Bitcoin is being traded around $8100 dollars.
Mr. Novogratz explained:
“Bitcoin could be at $40,000 at the end of 2018. It easily could. Ethereum, which I think just touched $500 or is getting close, could be triple where it is as well. There is a big wave of money coming, not just there but all around the world.”
Now it is time to see the effects of institutional investors’ money in the price of cryptocurrencies.
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