VanEck: institutional investors don't care if BTC ends 2018 at $3,000 or $10,000

16 Nov, 2018
by Richard Allen
News
VanEck: institutional investors don't care if BTC ends 2018 at $3,000 or $10,000

Regarding the recent market crash, CoinTelegraph reached out to Gabor Gurbacs, digital asset strategist and director at VanEck. Gurbacs explained that institutional investors are unphased about whether Bitcoin closes 2018 at $3,000 or $10,000.

When the market reacted negatively ahead of the Bitcoin Cash fork, it led many retail investors and individual traders to panic sell, which drove the market down even further. As far as institutional investors are concerned, Gurbacs explained that products that provide investor protection and strengthen the infrastructure of the crypto market are far more important.

“Large financial institutions are more focused on proper market structure than short-term price fluctuations. How do we properly value digital assets? How do we custody digital assets? Are there ETFs available with proper market and investor protections? Most large institutions do not really care if Bitcoin ends 2018 at 3,000 or 10,000. I think market structure is getting better every day and crypto starts to look more and more like the commodities and equities markets,” he explained.

In addition to the hard fork and the subsequent hash power war that follows, the end of year selling by businesses finalizing their books also had an impact on the $27 billion loss experienced by the market, Gurbacs stated, explaining that traditional financial markets also experienced a large price correction over the last several months.

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Read more about: Bitcoin (BTC)

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