Bitcoin Could Outperform Altcoins in the Months Ahead
Many investors flipped bullish on Bitcoin relative to altcoins over the past few days as the leading cryptocurrency has begun to outpace its offspring. This culminated on Monday when BTC gained 3% while the price of top altcoins dropped by 1-10% across the board. Even Ethereum dropped around 0.5%, despite first rallying to match Bitcoin.
Analysts think that this trend will continue.
Su Zhu, CIO and co-founder of Three Arrows Capital, commented on the matter:
He added that he thinks that money will eventually flow back to altcoins when Bitcoin “is in the 40k-70k range.”
His business partner Kyle Davies echoed this sentiment.
The two are seen as prominent investors in the space, having called many trends over the past few months.
Macro Trends Favoring BTC
It’s worth noting that the macroeconomic trends that are driving the cryptocurrency space have a Bitcoin focus.
For one, institutions entering the crypto-asset space are focusing on BTC, and BTC only.
Business services company MicroStrategy accumulated $425 million worth of the leading cryptocurrency in August and September, shocking the investment world. Shortly after, Stone Ridge Asset Management, a more than $10 billion fund manager, revealed it had managed to buy 10,000 Bitcoin.
As Raoul Pal, CEO of Real Vision and a hedge fund veteran, said on the matter:
In terms of monetary policy, Bitcoin should be the first to benefit from continued stimulus as it is seen as a direct hedge due to its scarce properties. Other crypto-assets may not have that same ability to act as a hedge due to them having higher inflation rates.
Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts from TradingView.com Top Fund Managers Think Bitcoin May Seriously Outperform Altcoins
Originally from Bitcoinist.com https://ift.tt/3ocv2Fo
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