Bitcoin Will Bottom when the Price Plunges below $3K, Says BTC Zealot Anthony Pompliano
Originally published on: CoinSpeaker
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December 28, 2018
This year Bitcoin hasn’t managed to show such excellent results that it had in 2017. Nevertheless, it’s still not a reason to put it to pasture. And the end of the year is definitely quite an appropriate time to speak about the future of this crypto.
Bitcoin: New Decrease?
According to a world-famous Bitcoin zealot Anthony Pompliano, despite the fact that last week Bitcoin reached the mark of $4,000, it still may fall further.
Anthony Pompliano, who is also known among the crypto community as Pomp, earlier has collaborated with Facebook’s and Snapchat’s growth teams and now is a founder of Morgan Creek Digital Assets. He is an active social media commentator of the ongoing situation on the crypto market and is a recognized crypto expert.
Now his position is the following: Bitcoin markets will bottom out only after the price goes below the mark of $3,000. In the nearest future, BTC that is currently traded for $3,673 has all chances to fall to approximately $3,150 but then it may continue its way down.
But it is just a short-term perspective. Speaking about a long-term one, Pomp still insists that the forecasts according to which Bitcoin will be traded for $100,000 or even more have all chances to be translated into life. Nevertheless, there is still a question for how long we have to wait to see these figures.
Is Bitcoin Correlated?
The situation that occurred this Christmas has made the community think that there is a strong correlation between BTC and stock market assets. Let’s us remind that on Christmas Eve BTC fell from $4,200 to $3,800 and just at the same time worldwide macro markets experienced a serious hit. The Dow Jones Industrial Average lost 2.25% in a day’s time while Japan’s Nikkei 225 lost nearly 5%.
Nevertheless, Pomp claimed that Bitcoin is a non-correlated asset. Though he agreed that “there are some psychological components at play as the stock market pulls down”, according to Pomp, “Bitcoin has a zero correlation with the S&P 500 and a near-zero correlation with the dollar index”.
He insists that this simultaneous crash is nothing more than just a coincidence.
Speaking about the future of Bitcoin, Pomp also noted that there are a number of issues that are not clear at the moment but that may have a significant impact on the crypto industry. One of these issues is a potential approval of Bitcoin ETF. If Bitcoin ETF is approved, there will be very good chances for the price to go up.
Turning to the potential ways of development of the ICO market, Pomp also noted that at least some clarity is badly needed. While some regulatory bodies try to create more or less appropriate conditions for ICO projects, some others consider them to be too risky. As a result, the situation remains rather challenging at the moment and it is still unclear what we will see in the future.
But even now Pomp strongly believes that cryptocurrencies have enough potential to revolutionize the global landscape.