The occasion was the event held in recent days Squawk Box Asia, organized by CNBC during the Singapore Fintech Festival.
Tyler Winklevoss talked about the similarity between the 2017 rally and the 2020 rally. In both cases, Bitcoin touched the $20,000 mark. But in 2017, the precipitous rise was followed by an equally rapid descent that burst the speculative bubble. Will it happen again?
“This is not a run driven by retail investors. This time more sophisticated investors are involved who are buying Bitcoin quietly, it’s not a FOMO thing. That’s why it’s very different from 2017. These types of characters, these companies, these investors, were not in Bitcoin.”
Tyler Winklevoss added:
“We see Bitcoin as an emerging store of value that could disrupt gold and get to a $3 trillion market cap and therefore should not be used as a currency. The more mature it becomes, the less volatility there will be.”
After all, reasons the founder of the Gemini exchange, Bitcoin just like gold is not a currency, so much so that no one pays for dinners and coffee in gold.
Cameron Winklevoss to CNBC: Bitcoin will be worth 25-30 times today’s value
Cameron Winklevoss also associated himself with these considerations:
“Bitcoin is an emerging store of value and is better than gold. Its market cap is $335 billion, gold has a market cap of $3 trillion, so Bitcoin will be able to dethrone gold and will be worth at least 25-30 times today’s value.”
It’s a concept Cameron also reiterated in a tweet:
“Bitcoin will overtake gold. I can’t say when, but I can say within the next decade.
Bitcoin has grown 60 times in the last 5 years. To surpass gold it will need to grow 25 times in the next 10 years – in other words, it needs to grow half as much in twice as long.”
Basically, according to the twin founders of the Gemini exchange, driving the price of Bitcoin this time around is a different type of investor. If in 2017 most were retail, this time it’s institutional giants who are buying Bitcoin. It will be the influx of capital of this kind that will support demand, increase the market cap and thus drive the price up.
What is certain is that Bitcoin between gains and retracements is back again at $19,000. The next few days will tell if the predictions of the WInklevoss twins are correct or if 2017 is destined to repeat itself