Is Bitcoin’s bullish trend a whale ploy? Bitcoin televangelist Brian Kelly explains
Bitcoin’s price is increasing significantly. On Tuesday, July 24 it crossed $8,000 for the first time in the last two months. BTC remained 60 percent below its all-time high in December. Brian Kelly opinionated that the first generation cryptocurrency is here to stay.
The Founder and CEO of BKCM LLC, Brian Kelly, explained the current bullish trend of Bitcoin [BTC] on CNBC Fast Money. Crypto gurus have predicted that with the rise of bitcoin, all other major altcoins will die. Kelly presented a case study which explains about the 3 pointer bull case for bitcoin.
He explained about ETF [Exchange Traded Fund] speculations and believes that the chances of an ETF for 2018 are comparatively ‘low’.
He further explained in his second pointer that institutions are getting serious [about crypto market]. Many of the investors dropped bitcoin after feeling skeptical about the volatility of the coin in 2017. However, they are now feeling bullish about the bitcoin rally. Kelly believes more and more investors and bitcoin enthusiasts will come forward and back bitcoin.
Bitcoin ETF Speculation and Web 3.0
Kelly revealed that “the chances of an ETF in 2018 are relatively low.” saying that he also revealed,“this doesn’t stop speculation” as a major factor for the current rally.
Kelly said, “I can tell you from the calls that I’m getting, people that looked down on it [Bitcoin] in December didn’t like the price and are coming back now saying – Alright, this thing is not going away, we need to understand what it is, where does this asset class fit into our portfolio.”
Kelly explained his Web 3.0 theory and how it will move to the next step. Web 1.0 phase was at the time of “Global Library” and when information stored in books were saved in the internet database. Social media channels and search engines such as Facebook, Twitter, Google, marked the Web 2.0 phase. Web 3.0 is a “Global Databank”, which is a migration from Database to Databank. In Web 3.0 data can be monetized. This monetization is called as cryptocurrencies and is the future digital payment method.
Kelly refers Web 3.0 as the “new internet” and the “improved internet.” In addition to this, Kelly discussed with Futures Now trader Tim Seymour the market strategy revolving Bitcoin’s increasing price.
Seymour pointed out that investors are more comfortable buying Bitcoin at $7,800 than they are at $6,000. He further explained that they will probably be even more comfortable at $10,000. Kelly even compared Bitcoin to gold and other currencies, stating,
“The more value comes, the more it [Bitcoin] becomes.”
According to Kelly, the market scenario has transformed significantly in the past two weeks time. In an earlier discussion with CNBC Fast Money, he revealed,
“The character of the market has appeared to have changed. For most of this year, every rally was met with aggressive selling. That has changed over the last two weeks. The potential for a currency war could be a tailwind for Bitcoin going forward.”
When asked about BTC’s potential, Kelly answered in an interview with CNBC that he used to compare crypto to the Internet in 1995, he now understands that a better comparison is further back:
“I think this technology is going to work, it’s going to be game-changing, but it’s very early days, so we can have this massive volatility.”
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