Crypto Expert Sees Bitcoin Ripe For New All-Time High Amid Unprecedented Wall Street FOMO

9 months ago 7

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After hurtling back above the $50,000 level, industry pundit Anthony Pompliano believes Bitcoin has more gas left in the tank based on the huge imbalance in the alpha cryptocurrency’s supply and a decade of pent-up demand. According to Pompliano, Wall Street is sucking up 12.5 times more BTC daily than what miners can produce amid a looming supply shock.

Pomp: Wall Street Loves Bitcoin

In an interview with CNBC’s Squawk Box on Feb. 12 titled: “Bitcoin FOMO has hit Wall Street”, Anthony “Pomp” Pompliano, co-founder of hedge fund Morgan Creek Digital, declared that Wall Street “loves Bitcoin”.

The entrepreneur and crypto influencer noted that “they are buying up 12.5x more BTC per day than the network can produce”. He pointed to BlackRock and Fidelity, two Wall Street giants that are actively purchasing Bitcoin to cover record-breaking inflows for their spot Bitcoin-based ETF products.

Roughly 80% of the total Bitcoin supply has not moved in the past six months, Pompliano observed before adding that only about $200 billion in BTC is tradable, so these ETFs “have sucked up 5% of the entire tradable supply of Bitcoin in 30 days.”

The arrival of the spot BTC ETFs in January after a decade of denials was a watershed moment for the crypto industry. The investment vehicles offer traditional investors a regulated and easy way to gain exposure to the benchmark crypto without directly buying and storing it.

The spot Bitcoin ETFs have been a resounding success in just four weeks of trading. Combined, the 10 newly launched ETFs have amassed around 200,000 BTC in holdings, worth a whopping $10 billion — led by BlackRock’s iShares Bitcoin Trust, which currently holds BTC valued at $4 billion. Fidelity’s Wise Origin Bitcoin Fund came in second with over $3.4 billion in BTC under management. Those are impressive achievements for new funds, providing new powerful tailwinds for the price of Bitcoin.

Notably, BTC has staged a phenomenal recovery from the 2022 price doldrums as Wall Street titans guzzle up massive amounts of the crypto. And Pompliano thinks the institutional investment from Wall Street will turbocharge Bitcoin in 2024.

Blockbuster Bitcoin Rally Underway

Pompliano is convinced that Bitcoin has the potential to see a steady price increase and surpass the current all-time high of $69,044.7, bolstered by buying demand from spot ETFs and BTC’s recurring supply shock: the halving event expected in April 2024.

As you know, there are only 21 million BTC that will ever exist. Bitcoin’s fixed supply indicates that soaring demand will continue propelling the asset’s price higher. “It’s pretty much guaranteed,” the Pomp Investments founder and partner posited.

As always, we can’t accurately predict where Bitcoin’s price will go from here. Pomp’s prognostication is not bulletproof. While we gasp at the possibility of Bitcoin setting a new all-time high beyond $69K this year, it pays to remember that Bitcoin is notorious for its dramatic price swings, and no possibility is too far-fetched in the world of cryptocurrencies.

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