Crypto is ‘one of the biggest bubbles ever’: Strategist
When it comes to cryptocurrency, financial adviser Ryan Payne agreed with billionaire Charlie Munger when he said, “This era is even crazier than the dot-com era.”
“This whole Bitcoin (BTC-USD) thing — this whole cryptocurrency — is one of the biggest bubbles ever,” Payne, president of Payne Capital Management, told Yahoo Finance live on Friday.
“I do think that bubble is eventually going to burst. It’s going to be ugly,” he added.
The global crypto market “is somewhere over $2 trillion. When the dot-com bubble burst, those dot-com stocks where worth like half a billion dollars. Inflation adjusted that’s like $1 trillion in today’s dollars. Most of those stocks became worthless,” said Payne.
Payne’s prediction is bold, even if crypto has been volatile recently. Over the weekend Bitcoin plunged to below $50,000, dashing hopes of $100,000 run by the end of the year. Still, year-to-date the cryptocurrency is up 70%.
Many would agree 2021 has become the year crypto went mainstream. Big banks have been hiring crypto talent, and the likes of Goldman Sachs (GS) are even exploring loans backed by Bitcoin. Not to mention a growing number of companies are in some way exposed to at least Bitcoin, including Meta’s (FB) Facebook, Square (SQ), Tesla (TSLA), and MicroStrategy (MSTR), among others.
Despite its volatile nature, Payne believes Bitcoin can still go higher because of excess liquidity looking for a home.
“There’s too much money out there that can funnel into this market. It’s just becoming a bigger and bigger casino,” said the adviser.
“At the end of the day we’re not using it for that much more commercial use. It’s just more people speculating and I think it’s very analogous to when the tech bubble burst, or you go back to the housing bubble … where everybody’s involved,” said Payne.
Crypto investors see looming NFT bubble but tout staying power of the underlying tech
Cryptocurrency investors flocked to Miami Beach, Florida this week for Art Basel and nearly 200 other blockchain events in the city.
Many acknowledged an unsustainable momentum behind NFTs as they pull in an estimated $2 billion per month. But investors are still bullish on the underlying technology.
“Most people believe there’s some version of a bubble happening. But most of us who are in the space believe that whether it goes up or down it is a new thing that’s here to stay in some version of itself,” says Linkin Park co-founder Mike Shinoda.
MIAMI BEACH, Fla. – Even if NFTs are a flash in the pan, cryptocurrency investors are betting that the underlying blockchain technology is here to stay.
Crypto enthusiasts and venture capitalists flocked to Miami Beach, Florida this week during one of the world’s premier art events. For the first time, Art Basel Miami featured multiple NFT exhibits. But the city also hosted upwards of 200 other events, where the focus was more on the technology behind these digital collectibles.
Musicians, artists and celebrities are clamoring to launch NFTs, or non-fungible tokens, which are unique digital assets with ownership rights verified and stored on a blockchain. It’s a way to have ownership over content that’s been historically easy to replicate online.
The new asset class is raking in roughly $2 billion per month, up from $400 million in January, according to recent estimates from JPMorgan. Analysis by DappRadar shows NFT volume skyrocketing 38,000% year-over-year to $10.7 billion in the third quarter.
“Certainly there’s a lot of hype,” said Mike Shinoda, musician and co-founder of the band Linkin Park, who launched a new NFT mixtape this week. “Most people believe there’s some version of a bubble happening. But most of us who are in the space think that whether it goes up or down, it’s a new thing that’s here to stay in some version of itself.”
I predicted this: Why Are Democrats Hurtling The United States Towards A Stock Market Crash?
From in or about July 2016 through at least in or about February
2017, however, Originator-I, Researcher-I, and Researcher-2 also exploited Internet Company’ s data and other data to assist Tech Executive- I in his efforts to conduct research concerning
Donald Trump sues Hillary Clinton and allies over Russia claims
Sprawling lawsuit accuses a large cast of racketeering conspiracy over allegations that Trump was in Putin’s pocket in 2016.