Venture capitalists are not too certain that the Bitcoin price will be able to maintain its momentum. That is only to be expected after the major correction we recently went through. Jason Calacanis is concerned about the future and predicts there’s a one-in-three chance that Bitcoin’s price will go to zero. Although it seems highly unlikely things will get out of hand so quickly, there is always a chance something like this might happen.
Can the Bitcoin Price Stay in the Green?
Even though 2017 was a spectacular year for cryptocurrencies in general, it is safe to say that things will not necessarily remain so positive in 2018. In fact, early 2018 resulted in a major Bitcoin price correction which very few people had expected. Even though such things can always happen – and usually tend to occur in January – the latest correction has some venture capitalists concerned right now.
Jason Calacanis is very concerned about the current Bitcoin price and has made a rather grim prediction. More specifically, he claims there is a 33% chance that the Bitcoin price will go to zero in the very near future. It’s not a statement a lot of people will agree with, even though no one can deny the possibility is very real at this point. With Bitcoin struggling to maintain a price of US$12,000, it is only normal to see some people express their concerns over what the future may hold for the world’s leading cryptocurrency.
It is worth mentioning Calacanis doesn’t deny that Bitcoin is a real technology and that it has the potential to change the world. It can certainly do amazing things in the future, but the lack of proper regulation, abundance of manipulation, and sheer volatility are all factors which make Bitcoin unfavorable as a currency. The current price is merely based on hype and speculation, as most people are starting to consider Bitcoin a store of value rather than an actual currency.
According to Calacanis, it seems only a matter of time until casual investors realize that they have been buying into a “huge fraud“. That statement in particular will certainly spark a lot of debates among cryptocurrency enthusiasts. It is not the first time we’ve heard people call Bitcoin a fraud, even though there has not been any solid evidence to support such statements so far. It is unclear how many people think Bitcoin is a fraud without any evidence to back up such wild claims.
Additionally, Calacanis is also convinced that the current trend of investing in Bitcoin is “extremely dangerous”. Investing in any vehicle, asset, or product is always a risk, as there is no guarantee that anyone will ever make money from doing so. Bitcoin and other cryptocurrencies are no exception in this regard, but they don’t pose any additional risks either. One could easily argue the current Apple stock price is also based on hype and excitement first and foremost.
One thing people need to keep in mind is that Calacanis is a rather interesting individual with some conflicting opinions. For instance, he doesn’t want companies such as Facebook to be regulated too tightly. That in itself is somewhat understandable, yet it also shows that the interests of this VC easily warrant an anti-Bitcoin stance as well. There are always conflicting opinions when it comes to technology and cryptocurrency, of course. That won’t be changing anytime soon.