Crypto Likely To Rally in Coming Months As Traditional Assets Fall, Says CEO of $5,100,000,000 Hedge Fund

Pantera Capital CEO Dan Morehead believes crypto belongings will diverge from conventional belongings corresponding to shares, bonds and actual property.

In a CNBC interview, the crypto hedge fund CEO says the costs of digital belongings will possible be going up in a 12 months as rate of interest hikes trigger conventional belongings to development downwards.

“One in every of our central views is that though clearly, rates of interest must impression bonds mathematically they usually nearly must impression shares after which different issues like actual property will definitely be targets of the Feds [Federal Reserve Bank], there are some asset lessons like cryptocurrencies that needs to be uncorrelated or disconnected from the rate of interest markets.

Though it hasn’t occurred but, crypto has been very correlated with danger belongings, I can simply see a world, in say a 12 months when shares and bonds are down, actual property is down however crypto is rallying and buying and selling by itself. Very very like gold does. Or mushy commodities like corn, and soybeans. All doing very properly. In order that’s the world that I believe we are going to see.”

Morehead says the basics of crypto belongings are nonetheless interesting from an investor’s perspective.

“The basics in crypto are nonetheless very optimistic. Clearly, we had an enormous bull market, now an enormous bear market. However I’ve been by way of 5 of these thus far and for ten years we have now been investing in crypto. So it’s not unprecedented, we’ve seen it rather a lot.”

Pantera Capital at present boasts $5.1 billion in belongings underneath administration.

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