Dan Morehead, the founder and CEO of investment firm Pantera Capital, makes a bold prediction amidst the financial crisis that’s hitting the world by storm. In a letter sent to the firm’s investors in regards to the worldwide ramifications of COVID-19, Morehead said that Bitcoin (BTC) would surge and make a new record within a year.
In the letter, Morehead also shared his thoughts about the spiraling global economy, saying that it’s currently on edge. He added that he believes the period of negative growth is just around the corner, and that the world would witness the most significant recession in US history.
Morehead noted that he speaks from his 35 years of experience in the business. He predicted that this current financial crisis would break all records and would leave devastating impacts that would break all of history’s accounts.
The significant rise of Bitcoin
Interestingly, Morehead had written a bullish prediction for Bitcoin (BTC). He said that the world’s leading cryptocurrency exhibits correlation with today’s sharemarket and downturns, despite showing signs of decorrelation in the first few months of the market’s downfall. However, Morehead said that the high correlation was only for the short-term and that BTC would start trading independently from now on.
Morehead also compared the crypto to bonds, the assets that usually serve as a haven amidst market downturns. Notably, Bitcoin would rally and break its all-time high. However, he emphasized that it’s not going to happen overnight. However, he asked the industry analysts and players to watch out for the next twelve months.
As reminded by Morehead, Bitcoin came into this world amidst a financial crisis. Notably, this worldwide turmoil would catalyze it to come of age anytime soon.