[2018-08-08] Bitcoin the ‘Best House in a Tough Neighborhood’: Wall Street Strat

[ivanpoldark]

Despite the positive news seen in the crypto space recently with ICE, the owner of the world’s largest stock exchange, setting up a new bitcoin market, the rumors that bitcoin ETFs are on the way (but maybe not in 2018), and the classification of bitcoin as a commodity by the SEC, the price of bitcoin and altcoins has been steadily dropping in the current downward trend, with bitcoin sliding back below the $7,000 mark once again.

CCN reported yesterday that despite a $5 billion rebound in the crypto market, low trading volume made it more likely that another decline in value was incoming, stating:

“However, in the past several hours, the price of bitcoin and ether have started to drop once again, testing $7,100 and $410. If the volume fails to recover in the next 12 hours, bitcoin and ether will likely breach the $7,000 and $400 levels in a similar way as they did on August 5.”

This has now come to pass, with BitMEX CEO Arthur Hayes stating that BTC may need to test $5,000 before a bottom can be established.

However, Tom Lee of Fundstrat believes he has the answer to what seems to be a failing market, and points to one positive that he feels will save cryptocurrency: bitcoin dominance.

Read more: https://www.ccn.com/bitcoin-the-best-house-in-a-bad-neighborhood-wall-street-strategist/

[Kakmakr]

" Currently, the misery index is at 39, which Lee described as being in line with a healthy recovery. " - Now that was funny. 

I wonder where the misery index is today, with the price dropping with more than $600 in a couple of hours.  This is the kind of thing that scare traditional investors away and draws speculators to this scene.

Yes, if you have a lot of money, you can make a significant profit, but it creates havoc in the markets and creates crazy volatility. This is why I think institutional investors should stay away from Bitcoin, because they will increase volatility, by buying and selling in huge volumes.