Veteran Wall Street investor Jordi Visser weighed in on Bitcoin’s (CRYPTO: BTC) recent crash on Friday, stressing that the cryptocurrency remains inextricably linked to developments in traditional finance.
Are Institutional Investors Losing Interest In Bitcoin?
During an interview with entrepreneur and investor Anthony Pompliano, Visser was asked bout the factors driving the ongoing Bitcoin crash. Visser said he was “losing money” like everyone else.
“You cannot separate Bitcoin from the traditional finance world. You just can’t,” he stated.
Bitcoin Lacks A ‘Fundamental Narrative’
He argued that if institutional investors, such as pension funds or sovereign wealth funds, could achieve similar or better returns from the world’s largest “liquid companies,” they wouldn’t be tempted to invest in Bitcoin.
Visser, a macro investor with over 30 years of professional market experience, said that Bitcoin still misses a strong “fundamental narrative” to boost its appeal.
Notably, Bitcoin has tumbled over 26% in the last year, while The Roundhill Magnificent Seven ETF, which provides equal-weighted exposure to the “Mag 7” technology companies, has returned over 15%.
Moreover, veteran analyst Trader Mayne argued that Bitcoin is the only crypto asset worth holding long term, warning that roughly 99% of altcoins are built to transfer wealth from retail investors to insiders.
What Other Analysts Say
Visser’s comments followed Bitcoin’s sharp sell-off last week when it narrowly avoided sinking below $60,000. The apex cryptocurrency has since rebounded to above $70,000, but remains 43% below its all-time highs.
The crash rattled investors, erasing more than $2 trillion from the global crypto market since its early October peak.
However, Bitwise CIO Matt Hougan projected that a deep, prolonged crash like the 2022 cryptocurrency winter is unlikely even if volatility persists.
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