The founder and chief investment officer of Morgan Creek Capital Management Mark Yusko is predicting a bumpy ride for Bitcoin (BTC) in 2022.
In a new Fox Business interview, Yusko says that the price of Bitcoin this year may behave similarly to how it has always done after a halving event.
“This year I do believe could be a little rocky.
We have a four-year cycle in Bitcoin around something called the halving, where the block rewards on-chain are changed [cut by half].
And in the middle of that cycle, you tend to have a bear market, a consolidation period.
I think we’ve entered that.”
Yusko believes that possible regulatory tightening could also “cause some stress” to Bitcoin this year.
“And then you bring up the most important point which is regulation. So the first… years 2009 to 2015… six years, it was the ‘we-ignore-you’ phase. People just didn’t care.
Then from 2016 to 2021, the next six years it was kind of ‘hey, we kind of laugh at you. ‘Look at those crazy people over there with their Bitcoin.’
Now it’s the ‘we-fight-you’ stage. And the banks and the big financial institutions don’t want deposits moving from fiat currency into digital currencies.
So regulation is going to be a watchword this year. It will cause some stress.”
Yusko says that investors should avoid worrying about the price of Bitcoin and instead focus on the flagship cryptocurrency’s benefits.
“Don’t worry about the price.
The price of Bitcoin is a liar. That’s not the value.
That’s the price that two people agree to exchange a certain amount.
What you want to own is this incredible network, this digital gold, this future of money.”
Originally Published Here
