According to the reports obtained from the Ethereum World News website, one of the partners at Placeholder Ventures- Chris Burniske expressed double-edged statement around the cryptocurrency market. Recently he posted his thoughts through the perspective of Bitcoin ‘HODL’ meme, on social media platform- Twitter.
HODL made its impact and has progressed to a powerful status in the crypto landscape, after initially appearing on ‘Bitcoin Talk’ as a misspelled ‘hold.’ It has given out some impressive results during the initial purchases of BTC raking. Although Chris Burniske thinks quite the opposite about its effect on the crypto market, he rather thinks that it has a harmful effect on the nascent crypto market.
According to Burniske, the HODLers will keep sustaining the prices of the crypto assets that what is expected, and therefore the concept of ‘future states of the world’ to become frictionless will stay still just an idea. Burniske especially pointed at the shorting scenario. He thinks that every crypto market is in a way is contributing to the crypto market friction through shorting. As per him, the digital currencies have a ‘strong long bias.’ The market widespread with ‘price stickiness,’ along with the price turbulence, shortcomings- all are the result of crypto market incompleteness and the strong hands of the industry. In his tweet he further said-
“Friction around shorting is the biggest contributor to lack of market completeness in #crypto, but this is a temporary condition.”
As per Burniske, the cryptocurrencies are likely to stay in the ‘irrational state for a long time.’ As a result, this long-term stickiness will not zero down the value of the shallow digital assets too. The blockchain capitalist thinks that in case the crypto market’s completeness does not get fixed before the successive ‘bull run,’ the bubble for 2017 will look ‘quaint.’ He further added that there are chances that the manipulation will become widespread due to the increased price spikes that some cryptocurrencies may face. This parabolic effect will, therefore, have a harmful effect on the crypto market in the coming times.
On the other hand, Burniske posted about Bitcoin on twitter which has a good following of 113K, two weeks ago. He pointed at the public’s memory of forgetting about the Bitcoin when he highlighted at the ‘sudden aversion’ of the masses to the growing industry. The blockchain capitalist thinks that the situation is not a completely black and white scenario. There are several ‘decision makers,’ developers, investors, and innovators showing up and are investing in the crypto sphere both through human resources and through financial investments. They are showing up almost every day with the widespread of the knowledge about the crypto industry. On this, the blockchain capitalist further wrote-
“And the technologists and the financial folks that feed off the bleeding edge continue to pay attention, invest, or build, just as happened in 2015.’
Like the way in the year 2015 Ethereum was launched, Burniske expects some major crypto-based projects to offer products this year too. One can easily draw overlapping coincidence in Burniske’s prediction with views of Kyle Samani, Fred Wilson, and Travis Scher and others alike.
On 16th Jan, the Dollar Vigilante- Jeff Berwick said that platforms such as ‘Bitcoin ETFs,’ ‘Nasdaq ’s crypto 2.0 futures’ will have the potential to ‘change the game completely,’ as per the reports obtained from Ethereum World News. Along the same lines, the head of Digital Currency Group’s investment branch- Travis Scher also predicted about Blockchain based game apps and ‘non- fungible tokens.’ He expects experimentations and launch of ‘big hits’ in the sub-sector throughout this year. He thinks that this sector has been overseen by the venture capitalists due to ‘hit- driven’ tendency of the games. He further added-
“Venture capitalists should be paying attention to the ones that are building platforms and developer teams, companies that are not creating just one game but are building several developed business models that can succeed.”
Also, Kyle Samani- the managing partner of Multicoin Capital said that this year he expects many ‘high profile blockchain products’ to get released. It is highly likely that these products will attract a lot of customers from both the institutional sector and the retail sector.