The market sentiment surrounding digital assets has taken a heavy hit following the crypto market crash. However, various analysts have shared undaunted bullish scenarios for the space. In fact, critics of formers have also joined this group to express optimism despite the recent market correction.
What’s happening?
Former Goldman Sachs CEO and Chairman Lloyd Blankfein recently spoke to CNBC to come up with his own crypto story. A former skeptic about cryptocurrency and its potential, he admits that his views on digital assets have “evolved.” He stated,
“I remember when a couple of decades ago, maybe thirty years ago, they were auctioning off bandwidth for mobile phones and I thought to myself, ‘Why would anyone want to carry a phone? (…)”. But guess what? That worked. I can’t predict the future, but I can predict the present, like what’s happening, and I look at crypto and it’s happening.”
Here, the term “happening” signals the maturation of the ecosystem around cryptocurrencies over the past year. Right now, the crypto market is valued at over $1.6T. Indeed, the so-called “risk” (cryptocurrency) granularity is now acknowledged by the non-crypto community. Blankfein is no different.
Previously, he was unable to change his “intellectual view” towards digital assets, but from a more “pragmatic point of view”. He now acknowledges the industry’s ability to create value despite volatility. Blankfein added,
“It has lost a lot of value, but it (cryptocurrency) is at the point where there are trillions of dollars in value contributed to it and there is a whole growing ecosystem around it. And of course, we have the benefits of instant transfers, reduced credit risk and all the benefits of blockchain. ”
Regardless of the correction, he maintained his upbeat play. According to Blankfein, the current drop is not a cause for concern given the sheer amount of capital invested in the asset class.
Model conversion
This is exactly the case with the aforementioned moderator. By early 2021, he questioned Bitcoin’s ability to become a store of value due to its high volatility. He also mentioned private keys, saying that they are difficult to understand because people can easily lose them.
Various anti-cryptocurrency individuals have maintained the same narrative. Former critic Kevin O’Leary is one of them. O’Leary is currently a particular admirer of Bitcoin and Ethereum, as well as other cryptocurrencies as investment vehicles.