After a lackluster start to the week, stock futures are pointing up, with run-down tech names possibly taking the lead.
During the Nasdaq Composite
COMP, -0.38%
has lost 4% this month on inflation worries. For some cryptocurrencies like Bitcoin, it was even more brutal
BTCUSD, + 1.00%,
down 20% this month. Bitcoin is down 30% below an all-time high of $ 64,829, hit in April after Tesla
TSLA, -2.19%
Chief Executive Elon Musk said the electric car maker would no longer accept bitcoin payments due to environmental concerns.
In particular, Monday’s crypto session was brutal and wiped out over half a trillion dollars in total asset space.
The believers must stay there, ours says Call of the day from former Goldman Sachs hedge fund manager and cryptocurrency bull Raoul Pal. Not only does he see a big Bitcoin catalyst this year, he is also sticking to a bullish price target.
“I think BTC will be well above USD 250,000 for the next 12 months and at ETH [ethereum] well over US $ 20,000, ”said the Chief Executive Officer of Global Macro Investor and co-founder of Real vision financially and Crypto TVsaid MarketWatch.
The second most popular cryptocurrency after Bitcoin, Etheruem
ETHUSD, + 1.72%,
is nearly 20% below the all-time high of $ 4,382 posted last week.
Investors should remember that corrections come with the cryptocurrency field, Pal said. “If you understand Bitcoin, you understand its volatility, you understand that 35% pullbacks are normal,” he said, pointing to a chart he retweeted Monday.
“[Bitcoin] It currently still produces 200% annualized returns. This is the highest return on any asset ever recorded in history, ”said Pal.
And while that rate of return is likely to cool over time, “the adoption rate of the entire cryptocurrency market is still growing 113% per year, which is twice that of the internet from 1990 to 2000. So this is the fastest adoption rate of any Technology in history. “
Another reason for believers is that Pal sees “rocket fuel” for digital assets through a long-awaited US publicly traded fund, which he is slated to announce by September. Once that happens, “the entire crypto market will rise as prices rise due to new sources of demand from RIA [registered investment advisers] and asset managers, ”he said.
“So the problem for regular investors is that they cannot access cryptocurrencies without opening a new wallet and accounts on an exchange that they are not familiar with. And most of the registered investment advisors have no mandate to buy crypto, ”said Pal.
The current choices are few, including the Coinbase crypto platform
COIN, -3.92%
or the grayscale bitcoin investment trust
GBTC, -9.97%,
which is currently trading at a discount. “They have now launched ETFs in Canada and are incredibly successful,” said Pal.
Mike Novogratz, Managing Director of Digital Merchant Bank Galaxy Digital and major cryptocurrency investor, said Bloomberg TV On Monday, the weeks of consolidation for Bitcoin are approaching and the crypto is stuck between $ 40,000 and $ 50,000. However, he also believes that “the next catalyst is the ETF”.
Read: A new “crypto” fund is the long awaited Bitcoin ETF in disguise
And: This new ETF gives you access to the backbone of the crypto world
Walmart Revenue and a “Big Short”
Before new economic indicators – building permits and housing starts or new housing projects – stock futures
ES00, + 0.28%
YM00, + 0.24%
are up, led by a 0.9% gain for the Nasdaq-100
NQ00, + 0.67%
Futures. Asia had a strong session with Taiwanese
Y9999, + 5.16%
Stocks rose 5% as investors left concerns of COVID-19 behind. European stocks
SXXP, + 0.42%
are also with oil
CL00, + 0.44%,
copper
HG00, + 1.15%
and silver
SI00, + 0.98%
climb too.
In retail Walmart
WMT, -0.45%
and Macy’s
M, + 5.97%
will report. Stocks of the home improvement Home Depot
HD, -1.12%
are on predicted results. Income from the Chinese search engine Baidu
START, + 1.61%
and game maker Take-Two Interactive
TTWO, + 0.74%
are due after the market closes.
The investment firm behind Michael Burry, best known for predicting the mortgage crisis, has made a bearish wager against Tesla. Meanwhile, the California Department of Motor Vehicles has offered the electric car company a fully autonomous driving option in retrospect.
E-commerce giant Amazon
AMZN, + 1.47%
is reportedly in talks with Buy MGM, the studio behind the “James Bond” films.
Warren Buffett’s Berkshire Hathaway
BRK.A, -0.67%
BRKB, -2.11%
Conglomerate acquired a stake in insurance broker Aon
AON, + 0.38%
and cut stocks in bank Wells Fargo and Chevron Oil Group
CVX, + 1.24%,
after a 13-F filing in the first quarter.
The graphic
Bank of America monthly fund manager survey shows that many think the bullish Bitcoin call is very crowded.
Random reading
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