Crypto Fund Manager. It ‘Wouldn’t Be Rational’ to Expect Price Surges on Positive News
A cryptocurrency fund manager has recently argued that it “wouldn’t be rational” to expect positive developments to immediately impact the price of cryptocurrencies like bitcoin at this point, at least in the short term.
Speaking to MarketWatch Anthony Pompliano, founder and partner at Morgan Creek Digital, argued that developments being made in the cryptocurrency space aren’t going to be impacting the market now, presumably as most are being done behind the scenes.
He was quoted as saying:
It wouldn’t be rational to expect these types of announcements to affect bitcoin or other cryptocurrency prices in the short term. To paraphrase Jeff Bezos, the work that is being done today will be reflected in crypto prices 2-3 years from now.
This week the cryptocurrency space saw various developments that seemingly didn’t affect crypto prices, as these recently saw a slight drop. This, at a time in which an equities sell-off saw Nasdaq have its “worst day since 2011.”
Recently, anonymous sources at the Chicago Board Options Exchange (CBOE) revealed they believe “approval confidence” for a bitcoin ETF is “high,” as the organizations seeking it reportedly resolved issues cited by the US Securities and Exchange Commission (SEC).
San Francisco-based cryptocurrency exchange Coinbase has, as reported, also recently added Circle’s USDC stablecoin to its platform, after forming a partnership with the company. The development was seen by analysts as a stamp of approval for the crypto space, although some pointed out those holding the stablecoin could see their funds get frozen, or their transactions censored.
Bakkt, the cryptocurrency platform that’s set to be launched by the Intercontinental Exchange (ICE), has also recently revealed it’s going to launch its daily bitcoin futures contracts on December 12.
These developments seemingly haven’t affected BTC’s price, as it’s currently trading at $6,470 after sliding roughly 0.5% in the last 24-hour period, according to CryptoCompare data. Most altcoins have also dropped anywhere between 0.3% and 2%.