American entrepreneur and Bitcoin bull Anthony Pompliano has reaffirmed his bullish sentiment towards the flagship crypto. This time, he advised investors on what to do during this BTC dip, suggesting that there was no reason to worry despite Bitcoin’s Recent Underperformance.
Bitcoin Dips are for buying
In a interview Speaking to FOX Business, Pompliano mentioned that Bitcoin dips are buying opportunities and that any “great investor” who knows what they have understands that they should buy more if prices move against them. He further stated that anyone wondering whether to buy more during this BTC dive may not even know what they own, which points to Bitcoin’s potential.
Pompliano made these comments while noting that retail and institutional investors are beginning to realize that Bitcoin is a “resilient” asset that will be worth more in the next five to 10 years than it is now. The American entrepreneur also explained how BTC has matured compared to previous market cycles, while still experiencing impressive growth.
He stated that Bitcoin has seen several price corrections of 30% and 25% in the bull runs of 2017 and 2021. However, things have improved in this market cycle, with the flagship crypto only price drops of about 15%. He claimed that this shows that BTC’s volatility is decreasing.
Meanwhile, he also noted that BTC is the Spot Bitcoin ETFs in this market cycle, which was missing in previous bull runs. He believes these funds will be a major catalyst for Bitcoin’s run toward the end of the year. Pompliano predicts that Bitcoin could reach a new all-time high (ATH) before the end of 2024.
However, he warned that BTC may not rise in value as high or as quickly as it once did, as institutions invest in the flagship crypto via the Spot Bitcoin ETFs. He noted again that this is because the entry of these institutional investors has dampened Bitcoin’s volatility.
Thoughts on the Spot Ethereum ETFs
Pompliano also gave his thoughts on the Spot Ethereum ETFs and when they could start trading. He stated that these funds will likely start trading sometime this summer. He added that they could start trading sooner rather than later based on rumors that the Securities and Exchange Commission (SEC) is about to approve these funds.
He believes Ethereum has a problem that BTC doesn’t and suggests that this could negatively impact the amount of inflows that the Spot Ethereum ETFS attracts. According to Pompliano, Bitcoin has a single story, as it is known as a “value storage‘, which he says has been enough to convince investors to invest in the leading cryptocurrency.
On the other hand, he said that Ethereum has a lot of stories, which creates a confusing narrative for the second-largest crypto token by market cap. He noted that this could be a big problem for the Spot Ethereum ETFs, since institutional investors can easily get confused by what Ethereum entails and choose not to invest in these funds.
Main image created with Dall.E, chart from Tradingview.com