Pantera Capital Management[1], a hedge fund with a focus on cryptocurrencies, said in their April newsletter that Bitcoin[2]’s (BTC) price of $6,500 was probably the low for the cryptocurrency, and that it was “highly likely” BTC’s price will reach above $20,000 this year, the Wall Street Journal[3] (WSJ) reported Friday, April 13.
In December of last year, CEO of Pantera Capital Dan Morehead predicted[4] that Bitcoin’s price could drop 50 percent before it reached new highs, a prediction whose first part has come true, as BTC dropped below $7000[5] in February - a 65 percent drop.
BTC’s price has since risen - most notably by $1,000 in 30 minutes[6] on April 12 - currently trading at around $7,916[7] and down about three percent over a 24 hour period to press time.
In the April newsletter, Morehead wrote that he “rarely [has] such a strong conviction on timing. A wall of institutional money will drive the markets much higher.” Earlier this week, several Wall Street[8] players made steps into cryptocurrency as the Rockefeller’s venture capital arm Venrock partnered with[9] crypto investment firm Coinfund.
Additionally, a Goldman Sachs[10] executive reportedly left[11] to join Michael Novogratz[12]’s crypto merchant bank, and reports circulated that Soros Management Fund would begin crypto trading[13].
Morehead added that his “professional opinion is that we’re in the first innings of a multi-decade trade,” as Bitcoin recently fell below its 200-day moving average, a “rare buy signal:”
“If you can buy something at $7,000 which was $20,000, it’s probably a good trade.”
According to Morehead, he has only made four
