Bitcoin [BTC] “ultimately failed as a currency”: Weiss Ratings
— Weiss Ratings (@WeissRatings) August 22, 2018
Because of the virtual currency’s scalability issues and high transaction fees, a lot of crypto users have turned to other digital assets that offer better alternatives.
But many in the crypto community believe that the coin acts as a better store for value.
#BTC is better as store of value.
— Felix Beltran™???? (@Beltran1680) August 22, 2018
Weiss Ratings also has a very optimistic view regarding the digital currency’s value in the long-term. In a recent blog post, analyst Tony Sagami wrote that the Weiss crypto ratings team “has every reason to believe that we’ll see a rebound, and soon”.
SEC stance on Bitcoin ETFs holding back cryptos
Sagami pointed out the fact that a major hurdle for the prices of digital assets is the U.S. Securities and Exchange Commission’s (SEC) stance on Bitcoin ETFs.
The regulator just rejected nine proposals of such ETFs, which led to the broader market slumping. However, it is important to note that many were expecting another SEC rejection.
A recent poll by CoinDesk showed that 62 percent of the total respondents believe the SEC would not approve the ProShares Bitcoin ETF. Though most major digital coins are trading in the red, the market was not caught off-guard.
According to Sagami, even though the SEC has already rejected 15 different proposals prior to the recent ruling, “every rejected ETF brings us one step closer to finally getting approval”.
He highlighted the fact that the SEC only rejected the proposals because the ETFs failed to meet certain rules, not because the regulator is against the idea of a Bitcoin ETF.
The ratings agency believes that a Bitcoin ETF approval is in the offing and could happen as early as next month. “I expect the price of Bitcoin to skyrocket when that happens because it will be able to draw from the trillions of dollars of institutional and retirement funds” Sagami concluded.
Image via Shutterstock
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