A senior analyst with global asset management firm Alliance Bernstein has recommended that investors buy the bitcoin dip and focus on “the new bitcoin adoption cycle.” His advice followed the approval of spot bitcoin exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC). “The minor selloffs are opportunities in view of the asymmetric upside ahead,” the analyst explained.
‘Buy the Dip and Focus on New Bitcoin Adoption Cycle’
Global asset management firm Alliance Bernstein’s senior analyst specializing in digital assets, Gautam Chhugani, has advised investors to buy the bitcoin dip, according to a client note reviewed by Yahoo Finance. The analyst stated:
Our simple advice to all investors is — buy the dip and focus on the new bitcoin adoption cycle. The minor selloffs are opportunities in view of the asymmetric upside ahead.
The SEC approved 11 spot bitcoin ETFs last week. The anticipation surrounding the approval sent the price of bitcoin soaring past $49K. However, it subsequently dropped to around $42K. At the time of writing, BTC is trading at $43,170.14.
In November last year, Alliance Bernstein said in a note that it expects the price of bitcoin to reach $150,000 by 2025. Chhugani explained at the time that this prediction is driven by the optimism of anticipated spot bitcoin ETF approval. “You may not like bitcoin as much as we do, but a dispassionate view of bitcoin as a commodity suggests a turn of the cycle,” he noted.
Many people see the SEC approval of spot bitcoin ETFs as a landmark moment. Crypto exchange Coinbase (Nasdaq: COIN)’s chief financial officer, Alesia Haas, told Yahoo Finance that the approval was “a landmark day for crypto.” However, regarding the widespread adoption of cryptocurrency, she noted: “This is a long journey and this is just one step along the way.” The executive believes that spot bitcoin ETFs will draw “trillions of dollars that were previously not able to access crypto assets and not able to access bitcoin.”
What do you think about the recommendation to buy the bitcoin dip by the Bernstein analyst? Let us know in the comments section below.
