In less than a week, Bitcoin lost almost 7% of its value, again exceeded $ 10,000 and then fell back below $ 9,500. As such, the entire cryptocurrency market has turned red, with the altcoins hit much harder.
But according to Mark Yusko, CEO of Morgan Creek Capital, doesn't matter, since his focus is on the long period of time. And if Bitcoin falls,
«You should buy it, buy it now, tomorrow. Stack your sats. Build that wallet ».
The basics continue to strengthen
During his interview with CNBC's "Fast Money," he explained why Bitcoin has been red hot in 2020 and will continue to move higher.
«The best of the bitcoin market is the fundamentals, the fundamentals continue to improve; adoption is growing, the number of wallets has increased, the amount of transactions has increased ».
In general, all fundamentals continue to strengthen. And with the halving event In May, things will be more interesting.
(embed) https://www.youtube.com/watch?v=bmYouTehJjA (/ embed)
The halving basically compress the bitcoin supply, what That means there won't be so many rewards every ten minutes and every block. That will put less pressure on the sales of miners and prices generally adjust around those events, Yusko said.
We are seeing a big boost this year, with BTC 30% so far and in the second half, Yusko says that probably,
"We see many persecutions we saw in 2017, as we are seeing today in the stock market."
Bitcoin is designed to be the safe haven
With the offer cut in half again in the middle, the ratio of the stock to flow model will improve and be better than gold. Bitcoin it will become the digital form of gold and a pure store of value, said Yusko.
When questioned if that is the main underpinning of bitcoin, he said today, its value reserve. Bitcoin is not designed to be a stock traded token such as Visa or substitute Mastercard, that is for Lightning Network, that will justify that second request for level of payment for speed.
The digital currency is the safest and most powerful computer network in the world. This designed to be the safe haven which we use as part of the diverse portfolio, said the veteran of the hedge funds.
Lower "mass bullish" interest rates for bitcoin
Speaking about the effects of macro factors on the digital asset, he shared that interest rates that are falling worldwide are "massively optimistic" for bitcoin.
«In the world of rouge central bankers, bitcoin is king. Worldwide interest rates go to zero, all of the US rates. They go to zero, China's rates go to zero. All go to zero ».
Yusko explains that it is due to demography, deflation and excess debt. And in today's environment, that is the only option.
"You can't pay the debt, you have to inflate devaluing your currency, central banks will print and that is hugely optimistic for Bitcoin."
The fiat currency crisis is optimistic for Bitcoin, according to him, since it is an option to exclude the fiat fiat.