Today Bitcoin with seven-league steps approached and took a place in a number of different habitual monetary assets. Moreover, recently many sharks of the financial market have recognized crypto currency as a full-fledged monetary asset. In this regard, many investors have a feeling of anxiety about the economic and psychological impact of this financial miracle. And many consider the crypto currency as a kind of “bubble” that has no prospects in its development.
For example, analyst Michael Dudas, who is a great authority in the direction of the gold trade, also refers to those skeptics who do not believe in the economic validity of investments in crypto currency. He believes that investing in Bitcoins can be classified as “risky”, at least that’s the word he used when giving interviews for CNBC.
It is worth to note that for many other experts such a statement from the mouth of Dudas was not a surprise. At the same time, it should be recognized that not many investors can boast of having a clear idea of the laws the crypto currency market develops today, and also how they affect the global economy as a whole. By and large, some leading experts are skeptical of this new market, who do not know how to behave with Bitcoins.
It is worth noting that Michael Dudas has not only great knowledge in the field of precious metals, he is also a partner in the holding Vertical Research. In choosing investment options, he always relies on his basic experience with “tangible” assets, in particular, it is about gold. It is this precious metal that is usually considered as some kind of insurance, if something goes wrong with the market. Yes, we can safely say that gold is widely used in the real world, in addition, this type of assets has already been tested not for one century, but maybe even for thousands of years. But if we look at the situation from the other side, then Bitcoin is hard to compare with the usual for many financial institutions. And this is despite the fact that Bitcoin has long been called digital gold.
Appearing fears of the expert are due to the fact that recently at Bitcoin was a serious correction, as a result of which he fell in price. According to Dudas’ predictions for 2018, gold should grow by 8% within 12 months. But if we talk about Bitcoin, he demonstrated in one year’s growth from a price of $ 1,000 to 20,000 US dollars.
Dudas does not even want to consider launching CBOE and CME futures trading on this currency. As before, the expert is confident that all attempts to invest in Bitcoin fall under the definition of “speculation”.
“Once the crypto currencies appeared on the trading floors, the confidence market among the investors and the sense of legitimacy were added to the Bitcoin market, but this must be understood – these are just the first steps, this is only the beginning. We must always consider the situation that the market can move either upwards or downwards. As a result, most players either start raising or lowering”, Dudas said.
In general, we can say that in relation to Bitcoin, most investors have moved to the race position, since no one can authoritatively predict where the cost of the crypto currency will go. Moreover, there are certain questions to the regulatory front.
“Personally, I see the big problem is that there is a big problem with volatility, so in one sense or another, the public has a risk of suffering.” I have the conviction that the time will come when investors will suddenly become cooled to this market and this should be expected “- said Dudas.