According to DL News on March 11, although Bit has just experienced a major shock, Bitwise's Chief Investment Officer, Matt Hougan, said this price drop is just a small phase before Bit reaches a valuation of $10 trillion to $50 trillion. Hougan emphasized that if Bit does not fluctuate so strongly, it will only be a small footnote in history, fluctuating below $150,000 and only supported by a small group of libertarians, cypherpunks and speculative investors. In summary, according to Hougan: "Bit is either globally important or worthless".
This forecast by Hougan was made against the backdrop of Bit, other cryptocurrencies and the global market having to deal with many factors such as Donald Trump's trade war, disappointing performance, scandals, hacker attacks and the threat of a US economic recession.
The reaction of traders seems quite calm, as they appear disappointed that Trump did not announce large-scale Bit purchases. Bit and cryptocurrency markets continued to decline over the weekend. However, in Hougan's view, the market's disappointment is irrational. He pointed out that the clear executive order states that the US Secretary of the Treasury and Secretary of Commerce "must develop a strategy" to purchase Bit for reserves. Hougan emphasized that the order says "must", not "may" or "will", and the wording in the official statements is carefully chosen.
This content is for informational purposes only and does not constitute investment advice.
