- After announcing the Merge date, prices of Ethereum are trading at $1,894.
Anthony Scaramucci, Founder and managing partner of Skybridge Capital, has a positive perspective on the future of the crypto market, recommending investors to see the current situation and stay patient for the long term.
During the interview session with CNBC, the hedge fund manager highlighted his belief that several recent developments in the crypto space could spark “a lot more commercial activities.”
Scaramucci emphasized the two-layer payment system built on top of Bitcoin, the Lightning Network’s continuous improvement, BlackRock’s relationship with Coinbase, and their subsequent creation of a Bitcoin (BTC) private trust fund as promising developments for the future.
“Finally, CEO Larry Fink is seeing institutional demand for digital assets. Otherwise, he wouldn’t be setting up those products, and he wouldn’t be teaming up with Coinbase.” More, “I just want to remind people that there are only 21 million Bitcoins out there, and you’ll have a demand shock with very little supply.”
Scaramucci mentioned the impending Ethereum Merge that will likely take place on September 15, which will switch the network’s consensus process to proof-of-stake (PoS) as an event that might affect the market price of the second largest cryptocurrency.
In his perspective, traders are purchasing bitcoin because of the merger’s potential benefits, but he also cautions that they might sell just as quickly.
“A lot of traders are probably buying that rumor; they will most likely sell on the announcement of that merger,” he said, adding, “I would advise people not to do that; these are wonderful long term investments.”
Scaramucci highlighted a comeback of investor interest. With better-than-expected inflation statistics in July, he believes the global economy may return to its strong 2019 Fourth Quarter position within 6 to 12 months.
Scaramucci has a favorable prognosis for the crypto market but warns investors to avoid knee-jerk reactions to negative news and emotion-based trading.
According to Data of The Coin Market, While writing this article, Bitcoin is trading at $24,111, and Ethereum is trading at $1,894.
Many market analysts believe that the crypto market will likely follow trends upward after September 15, the official date of launching Ethereum Version 2.0.