Bitcoin in 2017 was able to reach a record high of near $20,000. And for many who are looking for profits, then this opened an opportunity for them. However, 2018 wasn’t exactly the same as last year.
Though there are those crypto experts who are still optimistic regarding the price of Bitcoin, it has slipped below $6,000 for a number of times already. And also, there are also those who think that it is quite possible to see Bitcoin reach $3,000.
Jordan Belfort, who is a notorious penny stockbroker, convicted scammer, and the real-life inspiration to the character of Leonardo DiCaprio in the movie “Wolf of Wall Street, sends a warning to Bitcoin investors. He claims that with his years scamming people, he can the ability to spot scams. He said in an interview for CNBC that “I was a scammer. I had it down to science, and it’s exactly what’s happening with Bitcoin. The whole thing is so stupid, these kids have gotten themselves so brainwashed”. He also added that “We don’t even know how bad it really is”.
He also issued a warning to those who are buying cryptos. He said that “For the average person who’s really—you know with a good heart, who walks in saying, ‘I just—I want – I do because I believe in it, in the long term thing,’ just f—run”. He also said that “This thing is going to evaporate like a mirage”. He also added that “There’s a lot of really honest people who are going to get slaughtered”.
Not The First Time
This statement isn’t exactly surprising. He already expressed his concern regarding cryptocurrencies in September last year. He mentioned that cryptocurrency is a “fraud”. He also added that he thought that initial coin offerings (ICOs) may be the “biggest scam ever”. In June, during the same time when Bitcoin was in an all-year low, he argued that the market had “run out of fools”.
Bitcoin is Still Up
However, despite his warning, the meltdown still didn’t happen. In fact, Bitcoin is recovering a bit in recent days. One of the reasons for its recent recovery is the potential of having a Bitcoin ETF.
Many believe that a Bitcoin ETF can attract institutional investors that can cause another bull-run for the crypto market. However, there are a number of things that have to be addressed. For instance, the Winklevoss Bitcoin ETF application was denied mainly because of concerns over price manipulation. The same is true for the nine other recent applications that were denied by the agency only to be scheduled for review.
If you are going to ask Belfort, he believes that the crypto market will disappear within the year. And this can cost investors a significant amount of money. He said that if it ever happens this year, it is going to be the “bust heard around the world”.
Bitcoin may still have a good number of doubters. And in reality, no one exactly knows what is in store for the crypto market. However, it is also true that even institutional investors are getting interested, not to mention there are those that have adopted cryptocurrencies.