Fortress Trading’s NationsShares President Shorts Bitcoin on TV, Says Crypto has No Fundamental Value
On September 2th, during a Cboe futures market live on CNBC, president and chief investment officer Scott Nations of NationsShares shorted Bitcoin. He shorted it at $6,370, but it has become beneficial for investors, as it became a catalyst for a 2% increase to the current price, which is presently stable at $6,500.
“I want to be a seller of the October contract. The Cboe Bitcoin futures, that is a single Bitcoin in a futures contract. My targeted downside is $5,950 and my stop to the upside is $6,600. Why do I want to short? Because it is Bitcoin. It has no fundamental value. We’re in an unravelling of this colossal bubble and the only thing going for it is hope, and hope is a horrible strategy.”
The investors with the biggest loss this week have been the ones that have opted for short contracts with Bitcoin, Ethereum, Ripple, and other major tokens. In fact, short contract involving XRP missed out largely, considering the increase of three times its former value. ETH also experienced impressive gains. Unfortunately, short contract holders have a hard time with predicting the best options for their investments, considering how it is in a stage of correction right now. Billionaire crypto investor Mike Novogratz even expressed out the market is bottoming out, resulting in crypto fatigue among sellers.
Novogratz also discussed the major milestones with Bitcoin, and what they mean for the future. The big resistance levels are at $6,800, $8,800, and $10,000, and Bitcoin needs to pass them to before they see a major involvement from institutional investors. Once that happens, it is possible that Bitcoin could rise up by 30% by the end of this year.
Nations believes that the BTC price will continue to decline during the short-term by 3%, based on his claimed that there is “no fundamental value.” If Nations truly believes what he says about Bitcoin being doomed to fall down to zero, then he should not even be involved during the short-term downtrend, especially when it comes to shorting the market.
Over the last nine months, especially in Iran, Turkey, and Venezuela, it is becoming harder to find value in even fiat currencies, considering how connected to the economy they are. If the economy suffers, or the cost of living rises, fiat currency can change with no control by the locals. In Iran and Venezuela, the currencies have gone down at such a rapid pace that they barely function as a usable currency at all. In fact, even the purchase of basic needs, like food and toiletries, are above the budget of way too many people.
Bitcoin’s true value is based on the way it functions as a consensus currency. With supply and demand, the value of BTC is constantly evolving, and the investors are in complete control of it, based on how they use the coins. As economies struggle, it is possible that Bitcoin could easily become a more reliable and potentially more stable currency than fiat currency, depending on what it evolves into.