Dan Morehead, the CEO of Pantera Capital, a $4.1 billion crypto hedge fund, stated that the largest cryptocurrency, Bitcoin (BTC), has reached a significant milestone after enduring a prolonged bear market. Here are Morehead’s noteworthy statements.
“It’s Time for Recovery”
Morehead highlighted that the sector has suffered enough after the collapse of the Terra ecosystem and the crypto exchange FTX, and it is now preparing for a bull market.
Morehead said, “Having traded in market cycles for 35 years, I’ve learned that markets can fall for extended periods. Investors can only endure so much pain. It has been a year since the developments like Terra and FTX. Enough time has passed. It’s time for recovery.”
According to the CEO, the crypto market has diverged from traditional markets, and therefore, any weakness in stocks or bonds in the future may not be significant for the crypto market.
In statistics, a correlation coefficient of 1 indicates a high probability of assets moving together. A correlation coefficient close to 0 indicates that assets have minimal linear relationship.
BlackRock’s Spot Bitcoin ETF will be a Game Changer According to Morehead
Morehead expects Pantera Capital, which has risen by 41,960% since its inception, to act as a catalyst to take the largest cryptocurrency to new highs if BlackRock’s spot Bitcoin ETF is approved. He stated:
There is something that could be even better than the Pantera Bitcoin Fund for certain investor types: BlackRock ETF (exchange-traded fund). If approved, we expect it to have a significant impact on the crypto market, similar to the launch of BlackRock’s iShares Gold ETF in January 2005, when gold was trading at $423 per ounce. Today, the price of gold per ounce is around $1,950. Many economic factors have influenced the price of gold, but the introduction of an ETF undoubtedly played a significant role in its rise.
