Why is it not correct to say that Bitcoin is “a bubble”. The CEO of Amber Group answered the question and highlighted the cryptocurrency.
Michael Wu , CEO of the digital asset financial services group Amber Group, acknowledged that many investors think that Bitcoin (BTC) is “a bubble”, but explained that it is something typical of those entering a “new paradigm shift . “
“People start out with doubts, with skepticism – it’s very natural because they will have to take the time to understand what’s new there , if it’s sustainable ,” Wu added.
The businessman explained that “skepticism” in BTC is something intrinsically related to price volatility , something that is becoming less and less. In that sense, it marked the influx of institutional investments that have reached the leading cryptocurrency market steadily for months and the asset’s projected and occurred growth.
” I don’t think I can call Bitcoin just another bubble, because it has all these institutions, all these billionaires, multi-million dollar listed companies, all these crypto newcomers , ” Wu said in dialogue with CNBC.
However, Wu acknowledged that there is room for volatility or new price corrections , such as the one that occurred on January 8 after the price of BTC reached its ATH.
Sometimes these price corrections can be violent, but I think we are past the stage of calling Bitcoin a bubble.
Finally, the CEO addressed the comparison of BTC to gold and the long-term cryptocurrency projections . ” The worst case scenario for Bitcoin is still a better form of gold, ” he stated.