CEO of investment firm Blackmore Group, Phillip Nunn, is standing by his bullish prediction that the bitcoin price will reach $60,000 in 2018, according to BusinessCloud.
Nunn, who also advises initial coin offering (ICO) projects, told the news outlet he believes the cryptocurrency will see $60,000 this year. Speaking to it at KPMG’s Tech Manchester.
“The prediction was based on, first of all, market volatility which we’re experiencing at the moment; I think that’s really apparent. I absolutely stand by my prediction.”
The CEO noted, however, that the money that currently exists in the crypto space came from the public and not institutional investors, which according to him means “it’s all about market sentiment.” This implies that a flood of bad news can hurt the market, and that the industry is so small “that there’s market manipulation.”
Nunn reportedly speaks to financial institutions such as major banks and hedge funds on a regular basis, and revealed they “all want a piece” of the crypto space but can’t find an entry point as currently available vehicles aren’t suitable.
“There’s no entry point at the moment,” he said. “If you’re a pension fund with £5 billion in your pot and you want to take a 5 percent position in crypto you’re going to really piss your investors off because of the volatility in the market.”
In his words, cryptocurrencies like bitcoin, ethereum, and litecoin are “the fabric of the industry,” while the remaining 1,600 tokens are “an alternative to venture capital money,” implying most will end up failing while those who succeed may be projects that grow like current tech titans like Google and Facebook did.
“The reality is nobody knows how many will fail. This is different, because you’ve got guys who are raising $50 million where they’d usually raise $2 million from VCs so maybe more start-ups will succeed because they’ve got a war chest and a lot more running room.”
Besides being bullish on bitcoin, Nunn is also a proponent of blockchain technology in general. He believes it will disrupt every existing industry and “the whole world,” as we’re moving “from an internet of information to an internet of value.”
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