Bitcoin Still a Good Bet
Despite the fact that Bitcoin has been struggling to maintain its price in the cryptocurrency market, the world’s number one cryptocurrency is still a good bet. According to venture capitalist Spencer Bogart, Bitcoin will trade at a minimum of $10,000 by the end of 2018.
Spencer Bogart is a partner in Blockchain Capital, a venture capital firm. He was reportedly the first ever major Wall Street analyst to cover Bitcoin and the Cryptocurrency industry. He was also the author of a very highly regarded Blockchain report.
Overvaluation of Cryptocurrencies
In an interview with CNBC, Bogart gave a bullish report about Bitcoin in the long run, despite the fact that the cryptocurrency has been falling for the last three weeks, which has been the longest straight fall since September 2017.
According to him, many altcoins are possibly overvalued and are facing a lot of headwinds thanks to the dangers involved in relative valuation. He compared what happened with the ICOs from 2017 to the beginning of this year to the dot-com boom in the early 2000s.
He warned that just like the dot-com industry had been overvalued, with many companies over-promising and under delivering, there are many tokens in the cryptocurrency market today that are doing the same thing.
In his opinion, people holding altcoins such as TRON, Cardano, IOTA as well as NEO would do well to sell their tokens while they still could. He was, however, neutral in his opinion regarding Ethereum, EOS, Bitcoin Cash and Ripple.
He explained that while he had a positive opinion about Ethereum in the long run, the altcoin did have a lot of “overhang” because of the fact that many of the overvalued tokens have been built on its Blockchain platform. Bogart did say that the future of Ethereum is closely linked with what happens in the ICO space.
Long Term Forecast for Bitcoin
Bogart stated that the long-term forecast for Bitcoin remains unchanged. This was because the predicted institutionalization of the world’s number one cryptocurrency is already underway, with banks and financial institutions all across the world looking at ways in which they can work out something with the crypto. The venture capitalist stated that institutions would either offer their customers BTC, open up a trading desk, or even create a custody platform.
Bogart also pointed out that despite the sustained bearishness of the cryptocurrency market, this was the first time that no one said that this was the end of Bitcoin. This was indicative that people are coming to accept that Bitcoin will be institutionalized in the long term.