Bitcoin’s downward trend is about to end, a prominent analyst has claimed, with the coin “close to bottoming”.
Spencer Bogart, partner at crypto and blockchain VC firm Blockchain Capital, told CNBC that the fact the week’s events in the crypto space – including strock brokers TD Ameritrade announcing its investment in ErisX, financial advisor Ric Edelman announcing his investment in Bitwise Asset Management, and Yale’s investment in two crypto funds – have had little impact on price indicates that the tide is turning.
“Towards the end of last year, when we were at the peak of this bulls market, bad news seemed to have no effect on the markets,” he said. “Now we [see] the other side of that when we have a week of news with TD, Ric Edelman, and Yale, and it has almost no effect on price.”
This could all be a sign of an upcoming bull run, Bogart suggests, following more frequent investments in the crypto space from large firms, rather than individuals.
Conversely, banks are reportedly waiting for definite news on how and when Bitcoin and other cryptocurrencies will be regulated, despite already investing resources into the technology.
“A lot of banks are healthily skeptical about Bitcoin and blockchain,” said autrho Rebecca Harding. “They see the need to invest in it to keep up with technological developments, but they’re waiting to see where regulators fall and are working closely with financial technology companies to make sure they’re not behind the curve.”