Crypto is Taking Over the World, Bubbles are Normal; Shapeshift CEO Says to Blomberg


Crypto is making its way into the world of finance, slowly taking over an important part of the global markets. The recent Bitcoin (“BTC”) Bullrun seems to have attracted a substantial amount of fresh investors and this new wave of enthusiasm is very beneficial for the expansion of the ecosystem. This impression was shared by Erik Voorhees, CEO of Shapeshift in an interview for Bloomberg.

The well-known businessman and bitcoin bull said that not
only financial experts believe that the bearish season passed; from his point
of view, common traders also share this opinion and are venturing into the
world of crypto, albeit more cautiously:

“We’ve seen four or five of these bubbles at this point, so a lot of this is just cyclical. People wait until they feel the bottom is in and when they feel like the bear market Is over then they feel comfortable moving back into crypto. That´s probably the biggest reason why this is happening but often these things are just a confluence of many individuals making their own decisions”


Voorhees explained that bubbles are part of the typical behavior of an asset such as Bitcoin which is growing and settling in the industry. The experienced businessman explained that he is sure that cryptocurrencies are taking over the world. An opinion that has been shared by other investors such as Tim Draper and Mike Novogratz

Crypto is a Volatile and Heterogeneous Ecosystem

 “There have to be bubbles in crypto because crypto is taking over the world and it’s not just going to advance 5% a month without end” Said Mr Voorhees while calmly explaining why bubbles tend to be cyclical in crypto “There’s no way to go from a zero dollar asset onto one that is worth trillions without mass speculation and massive volatility we see in cyclical bubbles”

This graph shows the stages of a bubble. It seems very similar to the performance of the crypto markets
This graph shows the stages of a bubble. It seems very similar to the performance of the crypto markets

Voorhees also commented that there are already practical
cases for Bitcoin in various parts of the world but that most of those who use
it do so for speculative purposes. Finally, he explained that there are still
very few assets that can really affect the ecosystem since the gap in the
global marketcap is still too high:

 “In crypto you have to understand that even though there are thousand of these assets, it’s a very long tail and only the (first) ten or 20 have any importance at all and then there’s a lot that don’t really matter much, and they don’t really move the market”


The post Crypto is Taking Over the World, Bubbles are Normal; Shapeshift CEO Says to Blomberg appeared first on Ethereum World News.