Anthony Pompliano Discusses Three Big Reason That Bitcoin’s Price Will Rise to $50,000 This Year
Anthony Pompliano is a major personality in the financial world. He is both partner and co-founder of Morgan Creek Digital Assets, which supports institutional hedge funds. Their most recent partnership is with CityBlock Capital, which is an established VC firm. As a major investment manager in the financial world, Pompliano has made his own prediction about the future of Bitcoin, saying Bitcoin will reach $50,000 in value by the end of the year.
I’ve stuck to my $50,000 Bitcoin price target for end of year 2018.
Still have high confidence on the $50,000 number. The timeframe is the big unknown.
The next 5 months will be fun to watch.
— Pomp 🌪 (@APompliano) July 25, 2018
His interview was held on Skype with Cheddar, and he said that there are three main factors that come into play – psychology, Bitcoin ETF speculation, and the introduction of institutional money.
In his statement, he said, “I’ve got a high degree of confidence that at some point in the future, it’s going to hit $50,000. And I’ve got some degree of confidence that it will be by the end of this year.”
He also believes that Bitcoin will have 30 to 40 chances to reach that number in the next few months. Pompliano is so confident in this change that he went to Twitter to voice the same opinion, saying that “the next five months will be fun to watch.”
Bitcoin experienced a pullback over the last two days, but it is likely that the changes are a direct result of SEC’s decision to deny the BTC ETF application put in by the Winklevoss twins. However, right now, Bitcoin has come back a bit from the dip, going from below $8,000 to a $8,141 price tag per coin. Pompliano believes this boost is enough for Bitcoin to continue to gain traction and move easily bust through the ceiling.
Human psychology, as stated above, will play a significant role. Pompliano said that this new price mark is the round number that BTC needs to reach to become more viable to consumers. When Bitcoin passed the $8,000 mark, they were able to get through three levels of resistance smoothly, which is a good indication that investors will follow. Pompliano said,
“There’s a lot of speculation on the new ETF decision, [but] I don’t think it’ll get approved in the next 30 days or so. There’s a lot of people excited about that.”
The next factor that would play a role in approvals in the future would be the speculation. This month alone, there has been some unexpected changes in the crypto world, including new circumstances in the trade-off that is presently taking place between China and the United States.
The third factor for Pompliano is institutional money, which could easily catapult the price tag to the predicted $50,000 price. Based on his familiarity with institutional investors in his role with Morgan Creek Digital Assets, he said,
“You can see institutional money coming into funds and future contracts so you’re starting to see really big volume in some of these products. I think that’s going to drive the asset.”
Pompliano explained that cryptocurrency opportunities are also a chance for hedge funds, which want to make greater products. The only thing left to do with this prediction is to watch how the market plays out and play the role that needs to happen for successful trading.