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Hedge Fund Veteran Admits He Was Wrong About Bitcoin Price

bitcoin price concept

There are many people in the financial sector who have missed out on the massive opportunities to purchase Bitcoin and other cryptocurrencies at their true bottom. While there are many headlines that point out how bearish the current cryptocurrency markets are; there is no doubt that Bitcoin offered an incredible buying opportunity several years ago. In 2013, Bitcoin was only worth $100.

Even though Bitcoin is down a significant amount from the all-time high; it is worth (as of press time), over $3800, meaning that an individual investor could have made 38x his investment if he chose to sell now.

There are many in the cryptocurrency community who point out that those in traditional finance never seem to admit that they were wrong. However, there are some high-profile individuals in the financial world that have no problem admitting that they might have been wrong and overly optimistic with regards to their Bitcoin predictions.

Overly Optimistic

The well-respected hedge fund veteran Mark Yusko is one of those people. Yusko is the CEO and chief investment officer of Morgan Creek Capital, which handles over one billion dollars in assets. He made the same prediction as Tom Lee of Fundstrat, tweeting earlier this year that he believed that Bitcoin would be worth $25,000 by the end of 2018, and called for a parabolic move, stating that he believed that one Bitcoin would be worth $200,000 by the end of 2022. You can find the tweet here:

Still Bullish Long-Term

It appears as though Yusko overestimated the impact of the existence of Bitcoin futures, and was happy to admit so on CNBC’s Fast Money. He repeated various times that “I was wrong”, although he did point out that more people trade Bitcoin than ever. Specifically, he stated: “We are trading $4.6 billion a day of Bitcoin, versus five years ago, sub…a couple hundred million.”

He still views Bitcoin as a solid investment currently. He elaborated: “If you are buying today, I don’t think you need a very long time horizon at all to make a nice return…over a decade, I think you can make 20x plus your money. I really do. I think it’s one of the few asset classes where you have that asymmetric return profile.”

He also offered this insight: “What people have to understand about Bitcoin is that it’s a network. It’s not a company. If you think about today – 5 of the biggest companies in the world are networks…Apple is a network, Facebook is a network…networks don’t grow based on economic growth, interest rates and profits…they grow on technology changes, regulatory changes…”

Yusko tweeted the @CNBCFastMoney quote, thanking the program for having him on and reiterating that when it came to Bitcoin, “I am a buyer here”:

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