Crypto trader and investor Scott Melker, also known as “The Wolf of All Streets,” expects the price of bitcoin to hit new all-time highs by the end of the year. “I would not be surprised at all to see bitcoin trading in six figures within the next six to 12 months, or ethereum even pushing towards $10,000 in that time,” he said. The trader also sees the Senate’s $1.2 trillion infrastructure bill as the biggest advertisement in history for bitcoin.
‘Wolf of All Streets’ Trader Sees Many Upsides to Bitcoin Pushing the Price Toward $100K
Scott Melker, the host of “The Wolf Of All Streets” podcast, shared his bitcoin outlook with Kitco News last week. Melker is a trader and investor both privately and at Texas West Capital. He is the author of “The Wolf Den” newsletter and an advisor to a number of blockchain-based projects. In June last year, Binance awarded him the Influencer of the Year Award for North America.
Commenting on the $1.2 trillion infrastructure bill that the Senate passed last week, he said it was the greatest advertisement in history for bitcoin. With so many intense discussions within the crypto community and a growing number of lawmakers speaking in favor of cryptocurrency, Melker said:
It’s raising awareness, which is probably actually causing more people to buy than to sell.
He continued: “We’re talking about printing over a trillion dollars out of thin air to pay for an infrastructure bill that has absolutely nothing to do with cryptocurrency. But the one cryptocurrency provision froze the bill for three or four days. And we had the entire world talking about bitcoin and the crypto industry. There’s some irony there.”
The host of The Wolf of All Streets podcast noted that the infrastructure bill still has to pass the House of Representatives and be signed into law. “That wouldn’t even happen until 2023. So we’re talking about a very long time horizon for any activity here.”
Another positive factor affecting the crypto market is the likelihood of a bitcoin exchange-traded fund (ETF) being approved by the U.S. Securities and Exchange Commission (SEC), he opined. “The approval of an ETF would be the biggest single event in the history of bitcoin for that large wall of money to have the confidence to enter — pension funds, endowments, sovereign wealth funds. They will come in when there’s an ETF.” The trader elaborated:
That would be the catalyst for real institutional adoption of bitcoin. A regulated asset that they can trust and that is vetted by their risk managers and by the SEC.
While noting that regulation in the crypto space is inevitable, Melker said the new SEC chairman, Gary Gensler, who previously taught crypto courses at the Massachusetts Institute of Technology (MIT), will likely introduce sensible regulations that will benefit the crypto industry. Gensler recently told Senator Elizabeth Warren that additional authorities and resources are needed for the oversight of the crypto industry.
“Reasonable regulation that protects consumers is a good thing and would likely open the door to a lot of big institutional money that’s waiting on the sidelines for that sort of green light to enter the space,” said Melker.
Melker also discussed his price prediction for bitcoin and ether. At the time of writing, the price of bitcoin stands at $47,218 while the price of ether is $3,273 based on data from Bitcoin.com Markets.
“It’s a function of the price actually catching up to the value,” The Wolf of All Streets host explained. “We saw a major liquidation of leveraged traders, which caused the cascade of prices to go down much further than they should have.”
He elaborated: “When bitcoin dropped from $60,000 to $50,000, we saw almost $10 billion in liquidation. One million individual retail accounts were liquidated. And we saw similar activity from $40,000 to $30,000. I don’t think that that was the fair value of bitcoin. Now we’re seeing institutional interest coming back in and taking advantage of the dip prices.”
Predicting new record-high prices for bitcoin and ethereum by the end of the year, Melker described:
I believe that this correction is likely over and that we should see new all-time highs by the end of the year. I would not be surprised at all to see bitcoin trading in six figures within the next six to 12 months, or ethereum even pushing towards $10,000 in that time.
He added that in the long run, bitcoin will likely be a seven-figure asset and ethereum a $20,000 to $30,000 asset at a minimum.
In May, Melker said that investors could get into the crypto market by investing in the meme cryptocurrency dogecoin. Tesla CEO Elon Musk and the owner of the NBA team Dallas Mavericks, Mark Cuban, recently said that dogecoin is the “strongest” cryptocurrency when it comes to using it as a medium of exchange.
What do you think about Melker’s comments? Let us know in the comments section below.
from Bitcoin News https://ift.tt/3AWSuvV
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