As Bitcoin (BTC) is clinging on to its $4,000 price tag, major crypto figures are betting big on a potential bull run. However, it doesn’t necessarily mean that cryptocurrency investors should get too carried away by the recent price uptick.
Big-name crypto bulls
As reported by U.Today, the Winklevoss brothers recently mentioned that crypto could eventually become bigger than Facebook (ironically, the social media giant is on the verge of launching its own stablecoin). They also claimed that Bitcoin, which is often called ‘digital gold’, is a better store of value than gold. The same opinion was expressed by Block.One founder Brendan Blumer, who believes that Bitcoin will ultimately replace gold by 2040.
On top of all that, Twitter CEO Jack Dorsey recently revealed that he buys $10,000 worth of BTC every week, using the dollar-cost averaging (DCA) investment strategy.
Hold your horses
While crypto bulls are becoming even keener on Bitcoin, eToro’s Simon Peters claims that investors shouldn’t be ‘carried away’ by the fact that Bitcoin finally crossed the $4,000 mark. According to Peters, it is crucially important to see what happens next. Bitcoin has to break above $4,200 (something it has so far failed to achieve this year) for us to speculate about a possible bullish reversal.
Businesses are struggling
The prolonging crypto rout forced many crypto businesses out of the market. According to a recent WSJ interview, even Ledger SAS, the biggest producer of hardware wallets, is struggling. Eric Larchevêque, the CEO of the Paris-based startup, reveals that they have to resort to austere management to make sure that they will still be in business for ‘18 months more’.