Will Bitcoin Bounce or Continue to Bomb?

“Through 2017 all of the buyers were retail — as the price is drawing down you’re starting to see institutional investors come in,” said Anthony Pompliano, founder and partner at crypto investment firm Morgan Creek Digital Assets, who remains bullish on Bitcoin in the long term.

And then there’s the flip side of the digital coin where the future looks murky and that Bitcoin’s run as the proverbial toast of the town in the world of digital assets has come to an end.

“Bitcoin was an extremely clever idea. Sadly, not every clever idea is a good idea,” a European Central Bank Executive Board member said at the Bank for International Settlements in Basel.  “Few remember that Satoshi embedded the genesis block with a Times headline from January 2009 about U.K. banks’ bailout. In more ways than one, bitcoin is the evil spawn of the financial crisis.”

The price of Bitcoin has fallen 2.42% the past 24 hours, but has bounced back slightly from its post-Thanksgiving drop to about $3,600. However, according to some, the bottom has yet to show itself.

“I could gloat about bitcoin collapsing 10% in a day to $5700. But that is still some way to zero where bitcoin belongs. Actually, since bitcoin is The Mother of All Toxic Pollutions & Environmental Disasters its true fair value is highly negative with the right externality tax,” said U.S. economist Nouriel Roubini, who teaches at New York University’s Stern School of Business and is chairman of Roubini Macro Associates LLC, an economic consultancy firm.

Related: The Key to The First Bitcoin ETF

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