Boris Schlossberg, the managing director of FX Strategy at BK Asset Management and a longtime bitcoin bear, has recently revealed he believes the flagship cryptocurrency’s recent surge could see it go past $8,000.
Schlossberg, speaking to CNBC’s “Trading Nation,” stated the flagship cryptocurrency is trading on technical considerations rather than on fundamentals, but could still rise further. He said:
The asset is trading much more on technical rather than fundamental considerations. And the shortcoming rally has scope to go even further, perhaps all the way up to the $8,000 level where there is a lot more resistance.
Facing stronger resistance could presumably mean bitcoin’s price will stay around the $8,000 mark for a relatively long time, just like it stayed in the $6,000 area. Schlossberg noted, however, there were other factors helping bitcoin surge.
Among them were reports suggesting BlackRock, the world’s largest asset manager, was considering getting into the cryptocurrency market. The firm’s chief executive officer and chairman, Laurence Fink, later on clarified BlackRock’s position on crypto.
Billionaire investor Steve Cohen, the managing director of Point72 Asset Management, also reportedly help by getting into crypto by investing in a cryptocurrency hedge fund called Autonomous Partners, via his VC firm Cohen Private Ventures. Other analysts believe bitcoin could’ve surged thanks to a short squeeze, as short sellers lost $180 million in 20 minutes.
Per Schlossberg, bitcoin may also see its price increase if the mainstream financial industry starts adopting its underlying blockchain technology and gives it a “clear business-use case,” as it will boost its credibility and spread its “digital gold” reputation.
As CryptoGlobe covered, Digital Currency Group CEO Barry Silbert has recently revealed he believes bitcoin has “probably hit the bottom for the year,” after it climbed above the $7,000 mark.
Another recent bullish price prediction sees the flagship cryptocurrency reach $40,000. Billionaire hedge fund manager Marc Lasry predicted the rise as “it gets more into the mainstream and as more markets allow it to trade where it’s freely tradeable..”
At press time, bitcoin is trading at $7,470 after rising 0.78% in the last 24-hour period, according to CryptoCompare data. The cryptocurrency has been rising this week, as seven days ago it was trading at about $6,600.