The price of bitcoin will rally again this year, but it first needs to improve its ecosystem, according to the chair of CoinShares.
Danny Masters, the chair of CoinShares, an investment company that specialises in digital currency, was speaking on CNBC’s ‘Fast Money‘ yesterday, where he said:
“We need to see this [cryptocurrency] structure continue to build. We need to see the custody solutions come and be provided. We need indices and we need performance measures where we can actually start to understand what we’re talking about and measure our performance.”
He added that ‘more mature work’ around initial coin offerings (ICOs) was also needed, ‘so that post ICO we have a token life cycle.’ He continued by stating that this will ‘give investors more clarity, better expectations, more transparency.’
At the time of publishing, the number one digital currency is trading at $8,326, representing a 0.55 percent drop in 24 hours, according to CoinMarketCap. This is a far cry from its near $20,000 high mid-December. CoinShares, which launched the world’s first publicly traded bitcoin and ethereum fund, is not the only one that is bullish on where the price of bitcoin is heading.
Last week, Fundstrat Global Advisors predicted that the price of the digital currency would rise to $64,000 in 2019 due to an increase in mining the cryptocurrency. Whereas, Fundstrat’s co-founder, Tom Lee, has projected that bitcoin will be valued at $25,000 in five years time. He also thinks hodlers should retain their coins during price drops.
What’s noteworthy to add is that over the past week the Consensus and Blockchain Week New York events have been taking place. It’s here that advocates of bitcoin expected the currency to rally in price based on previous conferences. That, though, wasn’t the case. As mentioned above the currency remains under the $9,000 barrier.
With so many of the opinion that bitcoin will surge again in the near future, it remains to be seen what value it will reach and what this will mean for the market.
Featured image from Shutterstock.
