Jeffrey Gundlach seems bullish on Bitcoin as a perfect investment in the present situation but he doesn’t think it will be a better option in the long term.
Due to year by year growth of bitcoin investors and believers, adoption surged rapidly in multiple ways like trading, holding, payment systems. In this phase of revolution in the financial world with bitcoin, many people came and gone but almost every person admitted that Bitcoin is the best asset and also the best option in terms of a store of value.
Recently Jeffery Gundlach, Billionaire investor, and chief executive officer at Doubleline Capital, appeared in an interview with CNBC, published on 16 March. In the interview, he admitted that Bitcoin is the best asset over gold but in the short term not in the long for traders.
By taking the reference of the Federal Reserve hike in interest rate, Jeffery said that hike in interest rate is merely them “following” the two-year Treasury, adding that they were “way behind.
Jeffery also noted that stock market investors sold huge in recent corrections, so it will show better pump in the small-term but not in the long term because there are more hikes in interest rates by the Fed.
“Stocks are oversold and will go higher in the immediate term but will roll over once a couple more rate hikes are in place.”
Through the similar correlation between the stock market and crypto market, Jeffery said that it is a positive sign for crypto & Bitcoin also, in the intermediate-term.
In the past, during a hike in interest rate speculation plans of the Fed, many people pointed their hint to go with Bitcoin because bitcoin is an asset outside the control of the government, so it is the best hedge against inflation.
Recently Mike Novogratz, Billionaire investor, and cryptocurrency mogul compared the “diamonds and gold” market with bitcoin. Mike said that such assets are outside the control of government agencies. He also predicted that the price of Bitcoin will hit $500,000 in the next five years.
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