Following Bitcoin (BTC)’s stellar start in 2023, SkyBridge Capital founder Anthony Scaramucci believes “we are past the bear market” and expressed confidence in his firm’s cryptocurrency investments.
However, “the Mooch” qualified the statement by adding: “It’s an assumption. We don’t know.”
In an April 6 interview with Yahoo Finance, Scaramucci noted that Bitcoin has consistently outperformed every other asset class over longer periods of time, saying:
“But every time you’ve held Bitcoin in a span of four consecutive years, so you pick the day, you hold it for four years, you’ve outperformed every other asset class.”
Scaramucci also expressed his bullish outlook for the leading cryptocurrency by market cap ahead of the next halving cycle, which will take place in early March 2024 according to NiceHash.
Bitcoin has historically operated on a four-year cycle, with the start of an uptrend occurring shortly after each halving cycle.
The theory behind the price cycle is that the halving of block rewards makes existing BTC more scarce and therefore more valuable.
Bitcoin has posted gains of nearly 70% in 2023 according to Cointelegraph Pro, rising from $16,521 to $28,060, compared to the S&P 500 Index which is up just over 7% over the same time period.
Bitcoin’s enviable start to 2023 also comes amid what can only be described as poor market and regulatory conditions that may still weigh on the price.
US-based cryptocurrencies are struggling to find banking partners and liquidity following the collapse of crypto-friendly banks like Silvergate, Silicon Valley and Signature Bank, and there are fears that the US is putting a policy in place to prevent banks from interact with cryptocurrencies.
Additionally, the two largest cryptocurrency exchanges in the world according to CoinMarketCap – Binance and Coinbase – have come under recent scrutiny from regulators.
Coinbase received a notice from Wells on March 22 notifying of possible enforcement action by the Securities and Exchange Commission, while Binance has been sued by the Commodity Futures Trading Commission after allegedly violating trading and derivatives rules.
However, despite these developments, the opinion of the cryptocurrency remains positive.
The Cryptocurrency Fear and Greed Index, an indicator used to gauge cryptocurrency sentiment, is currently in greed territory and pushing towards highs not seen since November 2021, Bitcoin’s all-time high.
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