Pantera is hopeful since Bitcoin and these two altcoins
One of the interesting things about cryptocurrency investors is that they really look at the world very differently than most of their traditional finance counterparts.
The idea is like this: efforts by governments and central banks to fix the economy are doomed to fail and will likely worsen the situation. It makes no sense to switch to a defensive investment strategy because the prices of digital assets keep rising. Every time the stock market rises, trillions of dollars of central bank money are printed, confirming the fact that the dollar depreciates.
The latest dizzying statement came from a hedge fund manager Dan Morehead, who is the head of cryptocurrency investment firm Pantera Capital.
In an article he wrote, Morehead described how Central Banks are typically successful when they try to increase inflation, because the Federal Reserve is now following this as a formal policy. Morehead cited Venezuela and Zimbabwe as two previous success stories. Morehead then turned the argument that asset prices “did not rise because the stock foundations improved” to the argument “because a big money wave was pressed”. “Gold is at a 5,000-year high,” Morehead wrote: “Or, in other words, paper money is at an all-time low.”
Audiences, both on Wall Street and in the wider society, are now becoming more open to the idea that the traditional financial system and economy are both unsustainable and unfair. This further reveals the fact that cryptocurrencies are “the other way around”. Senior currency officials from the Federal Reserve met this week to discuss the steps they will take to improve the US economy. At this point, it seems that over the next few years, inflation is simply doing nothing until the history of the central bank is above and above the 2% target.
They Believe in the Bull Market
Morehead said Bitcoin and other cryptocurrencies have won because they have a relatively stable supply similar to gold and “advanced usage / fundamentals” similar to tech stocks like Amazon and Netflix.
Morehead uses the following statements regarding cryptocurrencies:
“The assets that show success and perform best are cryptocurrencies. This year, most cryptocurrencies outperformed other assets. “
Morehead also stated that he believes we are in the bull market.
2 He Highlights Altcoins
According to The Daily Hodl report, Pantera will soon invest money in YFI and Terra (LUNA) in terms of its own investments. YFI, decentralized finance (DeFi) protocol is a management token for annual finance. According to CoinMarketCap, the asset was largely immune to the September crash that plagued other cryptocurrencies and was trading at almost $ 40,000 at the time of writing.
Terra is a stablecoin network linked to some of the world’s major currencies . LUNA, Terra’s local shareholding asset, can be traded or staked to earn rewards on the network derived from transaction fees.