One of the largest asset managers in the world believes it is quite possible that the price of Bitcoin is equal to zero in the next few months. He showed that this was not a monster but is indeed a possibility.
A fall inevitable ?
Joe Davis is an economist known internationally for its relevant studies. He is responsible for the management of assets in Vanguard, and this specialist spoke about crypto-currencies on Monday, in an editorial published on the website ETF. He expressed a deep concern about the future of Bitcoin : “I am excited by the technology BlockChain technology makes Bitcoin possible. Indeed, Vanguard already uses a technology of this type. And as for Bitcoin the currency ? I see a probability decent as its price falls to zero. “
Pixabay The Digital Artist / The Bitcoin may, according to the economist falling back to zero quickly.
According to him, Bitcoin is not a currency, because it is not a store of value. It is the speculation which is at the origin of its price, and it may be that this cost falls to zero much more quickly than we think : “The arguments in favour of investment in digital assets are low. Unlike stocks and bonds, currencies do not generate cash flows such as the payment of interest or dividends that can justify their price. “
Joe Davis has taken to warn investors, reminding them that the competition was getting more and more intense. There are more and more virtual currencies, and they can quickly become obsolete. Like many analysts before him, he spoke of the tulip mania that occurred in the Seventeenth century in the netherlands. That is to say that, according to him, the crypto-currency can achieve incredible values before collapsing completely : “And, unlike tulips, these assets cannot be placed in a vase to decorate. “
Pixabay – The Digital Artist / According to him, the value of the Bitcoin is difficult to establish.
Its about to the Bitcoin are therefore particularly critical, and he does not see a bright future for the world’s most famous crypto-currency… To follow.
Source : NCC