Hedge Fund manager’s like Jim Cramer know their business like no one else it appears, for the controversial host on his Tuesday’s TV show has pronounced that bitcoin could well be in its ‘sunset days.’
And when Cramer, one of the most influential fund managers’ currently doing the rounds on television business shows begins his bitcoin-slaying monologue, bashing the top-traded cryptocurrency could not be far behind.
“Sun is setting” on the Satoshi’s Bitcoin
Cramer’s much awaited signature bitcoin slaying began on Tuesday as the virtual currency is caught in a whirlwind of price-craziness. Firstly, the price revival to $8000 in the last week of July had got many nay-Sayers of the non-fiat currency on their back-foot.
The momentum for the decentralized ledger technology coins was building up as the United States Securities and Exchange Commission (SEC) pondered over granting permission to launch cryptocurrency-ETFs. However, a quirky fate awaited bitcoin following SEC decision not to approve the ETFs.
The almighty SEC’s rejection of the key proposal for Cryptocurrency-ETF’s unwound bitcoin’s recent upward spiraling of price. Investors who had patiently awaited SEC nod to take a plunge into the world of cryptocurrencies came away disappointed, pulling down prices sharply.
While the investors were the ultimate losers in the downtrend the rejection had other long-term side-effects. It appeared to let loose the cats among the mice as the non-fiat-brigade began their diatribe about the unnecessary virtues of cryptocurrencies. Prices began to reach low-prices of $6,000 before the likes of Cramer bit into virtual currencies life-line.
Prices have crashed by 60% since the start of the year and prices did not rise much even with twin events. First was the financial institutions working on their own offers for the cryptocurrency-demanding clientele and secondly, the return of currency crisis in Turkey.
But living to tell a tale from the millions of words that made to mainstream media denouncing the rise and the fallacies of the virtual currency one phrase remained to tell the tale on Wednesday – Cramer’s “setting sun” analogy.
Not one to shun controversy, the mercurial manger of funds has been reticent about the lifeline of the DLT currency.
Infant steps cry advocates
Pro-currency advocates are quick to point out that bitcoin’s is yet in its infancy and there is no inkling of sunset days for the currency that is gaining weight age across industries for the characteristic transparency and immutability.
The current evolutionary stages for these currencies in adopting new infrastructure for custodial and liquidity are expected to become the foundations of a strong and supportive alternative financial system in the future.
Additionally, analysts and financial captains consider Crypto-ETFs are just waiting to happen phenomenon when sufficient infrastructure is in place for it operates in the mass-adoption phases.
Referencing comments by the likes of CEO of CyberArk, Udi Mokady, Cramer commented that bitcoin prices were really like “an outlaw currency.” Drawing attention to the line-up of crypto-crimes, including money-laundering cases, and the US Drug Enforcement Agency report that nearly 10% of BTC transactions were for illegal activity, Cramer and his ilk continue to chart the currencies downfall.