Right now, Bitcoin is going through various phases of evolution. The value of this cryptocurrency has not stopped climbing in nearly a week. Reaching dizzying heights, like when its value reached almost $20,000 on Saturday, December 9th. Expert opinion remains divided, all the while futures markets are now being put in place as another way to invest in the market.
Dave Chap and Other Key Financial Players See a Bright Future for Bitcoin
For the executive director at Octagon Strategy LTD., the world is only seeing a small fraction of Bitcoin’s enormous potential. He estimates, judging by the general public’s enthusiasm towards this new type of currency, that its value will eventually surpass the $100,000 mark. In his interview with Squawk Box, he said: “In terms of looking forward, I would say that if the trend continues until 2018, I would not be surprised to see a six-figure title.”
Max Keizer agrees, giving his opinion too that the value of Bitcoin could rise to $100,000 and will remain stable. Tom Lee, co-founder of Fundstrat, also believes that the Bitcoin market is set to continue with its insane growth.
However, Chapman, who is a digital asset trader, believes that beyond its steadily rising value, there are more important things to consider about Bitcoin. According to him, it is potential uses that it can have as the market continues to mature. Adding to this, he said: “In my opinion, the value is probably the least important aspect of Bitcoin. I’m more excited about its uses … about what it means for people who do not have access to financial markets and I think if we focus its the monetary value, we lose sight of the big picture.”
Chapman also believes that, if the Securities and Exchange Commission is in favor of opening futures markets for Bitcoin, there is also a good chance of having an exchange-traded fund for the star of all cryptocurrencies.
The Bitcoin Bubble
Tom Peterffy, the founder of Interactive Brokers is among those who think that Bitcoin is nothing but a bubble that will grow enormously before surprising all those who have invested in it by bursting and causing them to lose a lot of money.
For Peterffy, who is both a broker and an experienced investor, he believes that the value of Bitcoin will continue to flare up to $100,000 or more, before dropping drastically. He believes that the new futures markets being put in place for Bitcoin could be the source of a big disaster for the entire financial market. This may lead Bitcoin’s small brokerage companies to go bankrupt. On his part, he recommends that brokers opt for long positions at $5 contrary to the usual long positions of $0.80. This will help could help a broker protect his brokerage firm.
“I’m extremely curious, it’s an incredible thing. The way people are stupid is simply incredible, “he said to express his confusion. The Bitcoin futures markets were launched yesterday, Sunday, December 10, 2017 on the CBOE Futures Exchange in Chicago.