Regarding the general Bitcoin market, Spencer Bogart displayed a sense of optimism by stating the following: “I’m super bullish on crypto right now but does that mean that I think that things can’t go lower? It doesn’t – I think the prices are pretty good right now if I was looking to buy something like Bitcoin.”
The investment analyst was also keen to point out that he believes that crypto-hedge funds had a lot to do with the market’s situation in the early part of the year.
“But specifically why prices might go lower we are talking about a fund redemption cycle: so if we go back to the summer of 2017 when crypto prices were booming there was about 100, 200 maybe 300 new crypto hedge funds that were formed…well now here in the summer of 2018 a lot of them are hitting the end of their one year lockup. That means that the LPs in those funds are now looking at a down 50% year and…want to redeem out of that fund.”
Bitcoin still regarded as the best crypto
Bogart also declared that he still believes Bitcoin to be a legitimate buy with “very attractive” prices. One thing that might come as a surprise for some is that Bogart regards Bitcoin as still being the most promising cryptocurrency despite the explosion of new altcoins that are currently flooding the market.
The analyst also made it clear what are the four factors that make Bitcoin the force it is today, namely the “mindshare,” distribution,” SEC regulatory approval and the fact that the currency has shown real-life use cases.
“Bitcoin has the mindshare, the distribution.. almost every major country has a fiat on-ramp where people can use their US dollar their British pound to buy some bitcoin – no other coin has that distribution…. Bitcoin is the only one that has demonstrated its real use case, and traction…people are riding in the cars today with Bitcoin.”
Whether Bitcoin will remain the dominant cryptocurrency on the market remains to be seen. Currently, Bitcoin is enjoying what many think to be the beginning of a full-scale bull run as it managed to surge past the $8,000 mark for the first time since May.
