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Blockchain Venture Capitalist: Bitcoin Price is “Pretty Good Right Now”

 

Bitcoin looks to have come back from the lows of last week, when it slumped to under $5800. At the time of writing, it is pushing $6200 once more. But prominent Venture Capitalist Spencer Bogart thinks that the slump isn’t over, and predicts new lows over the summer.

According to the Blockchain Capital partner, many of the new hedge funds which popped up during the cryptocurrency boom in 2017 are “hitting their one-year lock up” — meaning liquid providers are looking to sell during a time when the market has been, for lack of a better term, ‘rekt.’

Bogart told CNBC‘s “Fast Money” on Monday:

“If we go back to the summer of 2017, when crypto prices were booming, there was about a 100, 200, maybe 300 new crypto hedge funds that were formed. […] They’re saying, ‘hey, I want to redeem out of that fund. That means forced selling on behalf of all of these new crypto funds that have popped up. I think that could take prices artificially lower.”

Bogart also claims that prices are still inflated. particularly when it comes to initial coin offerings (ICOs). The same could probably be said about many lower-level altcoins.

However, the Blockchain Capital partner noted that the price of Bitcoin is “pretty good right now”, at least in the short term. He also cautioned against the wait-and-see approach when it comes to buying the market leader at its bottom.

Bogart added:

“Most people that are going to wait for lower prices will end up paying higher prices than they are today. So I think the right move is to not try and time the market and try and average into it.”

Spencer Bogart is a partner at Blockchain Capital, and was previously a hedge fund analyst for SFG Asset Advisors in San Fransisco.

Bitcoin Price Predictions For 2018

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