Bitcoin the Favorite in ‘Winner Takes All Market,’ Says Chief Market Analyst
‘Very Likely A Winner Takes All Market’
As reported September 12 following another day of declines, especially concentrated in altcoin markets, the MVIS CryptoCompare Digital Assets 10 Index now reads 80 percent lower than at all-time highs around December last year.
This beats the Nasdaq Composite Index’s decline after the dotcom bubble burst by 2 percent.
“It’s a very likely a winner takes all market — Bitcoin currently most likely,” the publication quotes UK-based Markets.com chief market analyst Neil Wilson as saying.
Experienced cryptocurrency investors have defended market performance this year despite continuing to suffer heavy losses, arguing Bitcoin, in particular, has rebounded from several lows in the past five years alone.
While Wilson was keen to paint the image of all crypto as a “massive speculative bubble,” comparing Bitcoin to a potential Amazon.com unicorn, inside the industry, forecasts point to a more concerted rebound in the coming months.
As previous performance has borne out, Bitcoin rebounds engender altcoin rebounds, with last December witnessing first a Bitcoin, then an altcoin all-time price high.
“…We’ve never been more bullish [on bitcoin]. Where the issue is, is the altcoins,” payment gateway BitPay CCO Sonny Singh added to Bloomberg in separate comments Wednesday.
Bitcoin To Dictate The Market?
Nonetheless, pressure on largest alt asset Ether (ETH) continues this month, commentators suspecting futures activity as driving down prices to 15-month lows.
“Since December of this year, if one was bearish on any aspect of crypto but did not want to own the underlying, they could short BTC,” Fundstrat Global Advisors’ Tom Lee told mainstream media earlier in September.
“They can now short ETH, means the net short on BTC in futures would fall.”
In the long term, meanwhile, the opinion also tends to favor Bitcoin as the strongest bet in an uncertain market.
As Bitcoinist reported, research from Satis Group painted a dreary picture for major altcoins over the next five years, while Bitcoin could cost $96,000 by 2023.
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