The cryptocurrency market has experienced massive growth over the past few years, a trend that is expected to continue well into 2019. Despite the bear market that has affected cryptocurrency prices over the last 12 months, most market experts believe that the adoption of Bitcoin and other cryptocurrencies will remain steadfast.
Nine experts’ predictions for crypto 2019
For those of you who’d rather quickly read the most important statements, we summarized the video for you:
Thomas Lee, managing partner and head of research at Fundstrat Global Advisor, is an accomplished Wall Street strategist with over 25 years of experience in equity research. Lee predicts that the next wave of cryptocurrency adoption would come from institutional investors. He emphasizes that digital assets will become increasingly relevant with the digitalization of the global economy.
Egyptian American businessman Mohamed El-Erian is the chief economic advisor at Allianz. He previously served as the chair of President Obama’s Global Development Council and is a contributor at both Bloomberg and The Financial Times. According to El-Erian, Bitcoin’s development mirrors that of every major innovation throughout history: an initial phase of overconsumption (marked by speculation) is followed by a second period of adjustment. While El-Erian believes that a stabilized Bitcoin will present an interesting option for people at large, he also foresees that volatility and risk will remain persistent features of the cryptocurrency for the near future.
Mark Yusko is the founder and CEO of Morgan Creek Capital Management, an investment management firm that advises various pension funds, endowments, and private individuals. Yusko is of the opinion that unlike US equities, cryptocurrencies will experience huge returns over the next decade. He, therefore, advises individuals in pursuit of asymmetrical portfolio growth to invest roughly 4 percent of their portfolio into cryptocurrencies.
Jeremy Allaire is the CEO and co-founder of Circle, a cryptocurrency company on a mission to change the global economy. A veteran of the fintech industry, Allaire stresses the need for both a clear differentiation between commodity markets and digital securities as well as new regulations.
Brian Kelly is the founder and CEO of BKCM LLC, an investment firm focused on digital currencies. He additionally serves as a lead portfolio manager at the BKC Fund, an actively managed Exchange Traded Fund (ETF) focused on digital assets and blockchain, offered by REX Shares LLC. Kelly suggests that Bitcoin’s issues would be resolved over time, thereby fostering confidence amongst its users. In view of its growing potential, he further believes that at least one-fifth of an investor’s portfolio should incorporate cryptocurrencies.
Spencer Bogart is a partner at Blockchain Capital, a venture firm that is exclusively dedicated to investing into the crypto and blockchain industry. Bogart believes that despite Bitcoin’s current price dip, 2018 still saw its fair share of success with the implementation of the new Lightning Network. He further suggests that the anticipated increase in institutional participation within the cryptosphere marks a promising opportunity for investors.
Asiff Hirji is the president and COO of Coinbase, the leading cryptocurrency exchange in the United States. He is an investor with years of significant experience running large investment platforms and brokerages. Hijri praises 2018 as an innovative year for cryptocurrencies and hopes that a competitive derivative market foster healthy growth in the crypto market over the course of 2019.
Anthony Pompliano is the founder of Morgan Creek Digital, an asset management firm that provides institutional clients with access to digital assets. Pompliano anticipates that Bitcoin will continue to exist as a non-correlated asset, and that the price of cryptocurrencies will rise once there is an increase in demand.
Mitch Steves is an equity research analyst at RBC Capital Markets. Named as a “Rising Star of Wall Street Research” by Institutional Investor Magazine in both 2016 and 2017, Steves believes that the introduction of Ethereum’s Constantinople will not only affect miners’ profits of miners but reduce the overall profitability of GPU mining for a full quarter.