Grayscale, the world’s largest digital currency asset manager, is optimistic that Bitcoin (BTC) will continue to soar on the back of growing institutional demand.
In an interview on CNBC’s Squawk Box, Grayscale managing director Michael Sonnenshein says that while it is difficult to predict Bitcoin’s movement, interest from institutional investors suggests that the king coin is still in the early stages of its bull run.
“If our inflows at Grayscale are any indication of the types of investors that are interested in this asset class or the sizes of allocations being made, we’re just getting started.”
Crypto-exchange Gemini founders Gemini Tyler and Cameron Winklevoss, who were also interviewed on Squawk Box, also think that the flagship cryptocurrency will continue to rise.
“Our thesis is that Bitcoin is gold 2.0, that it will disrupt gold. And if it does that, it has to have a market cap of $9 trillion. So we think Bitcoin could price one day at $500,000 a Bitcoin. At $18,000 Bitcoin, it’s a hold, or at least, if you don’t have any, it’s a buy opportunity because we think there’s a 25x from here.”
Tyler Winklevoss points to the surge of institutional demand in Bitcoin as a major catalyst for the dominant cryptocurrency’s ascent.
“When you see the likes of Paul Tudor Jones, Stan Druckenmiller buying bitcoin and extolling its virtues. When you see companies like Square, Microstrategy that are publicly traded, putting their treasury into Bitcoin to protect their valuation because cash is trash and they realize it.
That stuff does a lot to mainstream and at some point, it’s just hard to look at those data points and deny that Bitcoin is an incredible technology but it’s also an incredible store of value.”
BTC approached $20,000 on Monday, breaking its all-time high on several crypto exchanges including Binance, Bitstamp, and Kraken. At time of writing, the leading cryptocurrency is worth $19,547.42, according to CoinMarketCap.
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