Michael Bucella, a partner at BlockTower Capital leading crypto investment fund, says that bitcoin is at the end of a distress cycle. The statements were made today (Nov 29) during an interview for CNBC’s Fast Money.
Bitcoin broke the $10,000 barrier exactly one year ago and many investors were expecting a similar bull run at the end of this year. However, no new announcements or changes in the industry seem to have a positive impact on the price of Bitcoin. Every indicator leads to the conclusion that the crypto winter may be longer than investors hoped for.
Michael Bucella said during the interview that the crypto space is experiencing a distressing cycle and that the “last leg of that is typically the most volatile and the most short-lived”. He believes that Bitcoin may fall even lower, as much as 50% lower, but that the lows would not last long.
Bucella also affirmed that bitcoin is moving from weak hands to strong hands and that strong hands in the crypto community are “quite patient”. He also said that the current state of the market is offering very good price entry points for those who are accumulating. He went on to affirm that smart money is being poured into crypto, referencing Harvard, MIT, Stanford and Yale.
When asked if the institutional investments were only being funneled into blockchain applications and not cryptocurrencies, Bucella assured that “there’s a lot of building happening at the crypto asset level as well”.
According to data from Cryptocompare, bitcoin is currently trading at the time of writing at $4351 with a 2.61% increase in the last 24 hours.
