- Dan Morehead believes cryptocurrency market cap would hit possibly $40 trillion.
- He predicted the 50% fall in BTC price of last year.
Dan Morehead, Pantera Capital CEO and founder, stated yesterday 26th April in an interview with Bloomberg that he certainly believes that the cryptocurrency market cap would be worth $40 tln one day. He said:
“Obviously, we’re very bullish on the space. We think we’re way below, maybe an order of magnitude — or two — below the real fundamental fair value of blockchain,” he said, stating later that “the industry as a whole is $400 bln. It easily could go to $4 tln, and $40 tln is definitely possible.”
“Anything that’s a $400 bln asset will not be ignored for long.” he added.
However, the cryptocurrency market cap needs to increase as a whole by about 10,000 percent from its current level to get to $40 trillion. And if the present market share distribution is held constant, something unlikely to happen, then the price of Bitcoin would trade at about $1 mln valuation.
— Bloomberg Crypto (@crypto) April 26, 2018
According to report, Pantera Capital just recently issued its 4th trading recommendation on BTC in its 7year history. Pantera argued that BTC had flashed a buy signal after dropping below its 200-day moving average. Subsequently, the value of Bitcoin has soared by about $2,000, making investors who followed Pantera’s advice net a 29% profit.
Dan became more resolute on this recommendation during his interview yesterday, when he stated that Bitcoin remained a “screaming buy” even after its moderate recovery. Dan had earlier stated in December 2017 that the price of BTC could fall by 50% or more towards the new year – an event that indeed happened, after which Bitcoin entered a prolonged bear market out of which it has only started recovering.
Cryptocurrency hedge fund Pantera Capital was founded in 2011, and currently has about $1 bln worth of assets under its management, the largest proportion in Icon, a cryptocurrency that ranks below top 20 on the market cap charts, and approximately 10% in Bitcoin.