Guggenheim: Bitcoin should be worth US$400,000
The recent Bitcoin price rally is fuelling the price fantasies of Bitcoin bulls, which also include more and more institutional investors. The CEO of asset manager Guggenheim Partners is now putting water on the mills of BTC evangelists – and is even outdone by a colleague. The market update.
After the all-time high is before the all-time high: After the Bitcoin price (BTC) set a new record of just over 23,600 US dollars in yesterday’s trading, it does not look like the bulls will leave the field without a fight. The Bitcoin Billionaire cryptocurrency started the day with a gain of 4.3 per cent in the last 24 hours and, at the time of going to press, was once again climbing just above the 23,000 US dollar mark. With a market capitalisation of currently 426 billion US dollars, 100 billion US dollars have flowed into BTC in the last seven days alone.
To the Kryptokompass magazine
It was only at the end of November that investment firm Guggenheim Partners told the US Securities and Exchange Commission (SEC) that it was reserving the right to invest up to $500 million from its Macro Opportunities Fund in BTC. Now Guggenheim CIO Scott Minerd has explained where he would like to see the bitcoin price. Speaking to news portal Bloomberg, Minard offered an assessment that should have Bitcoin bulls scuffling their hooves:
Our fundamental analysis has shown that Bitcoin should be worth about $400,000.
Minerd justifies this ultra-bullish price outlook with the relatively low Bitcoin market capitalisation – measured in terms of global GDP – especially compared to gold. Bitcoin shares many characteristics with the latter, with BTC having an „unusual transaction value“.
According to Minerd, Guggenheim has already entered Bitcoin at the US$10,000 price. The planned expansion of the investment is still awaiting approval from the SEC.
Bitcoin fund: records tumble at Grayscale
Guggenheim invests in digital gold through the world’s largest Bitcoin fund: the Grayscale Bitcoin Trust. Grayscale now holds the equivalent of over ten billion US dollars in Bitcoin. This makes BTC by far the most important asset in Grayscale’s crypto portfolio, which recently reported a new record value of 13 billion US dollars – even before the recent Bitcoin price rally.