Guggenheim Global Chief Investment Officer Scott Minerd has actually increased his bitcoin fair worth quote. He now states that the cost of the cryptocurrency could reach $600K based upon his firm’s fundamental research. Guggenheim’s SEC filing to invest half a billion dollars in bitcoin ended up being efficient early today.

Guggenheim’s Scott Minerd States Bitcoin’s Cost Might Reach $600K

The chief investment officer (CIO) of Guggenheim Partners, Scott Minerd, spoke about his new bitcoin price forecast in an interview with CNN Tuesday. Minerd is also the chairman of Guggenheim Investments, the global property management and financial investment advisory division of Guggenheim Partners. As of Dec. 31, 2020, Guggenheim Investments had more than $246 billion in overall properties across fixed income, equity, and alternative techniques.

Minerd started by talking about the present monetary policy versus the backdrop of more stimulus, bubbles in the stock exchange and other speculative possessions, in addition to the Gamestop legend. “I believe we are in a speculative bubble,” he conveyed. “It might go on for a long time.”

Concerning bitcoin, Minerd said that Guggenheim has been studying the cryptocurrency for almost ten years. “The size of the marketplace just wasn’t huge enough to justify institutional money,” he opined, adding that “As the total market cap of bitcoin got bigger … it started to look extremely interesting.”

He proceeded to talk about bitcoin’s rate and appraisal. “We do a great deal of essential research study,” he emphasized. “If you think about the supply of bitcoin relative, let’s state, to the supply of gold in the world … If bitcoin were to go to those type of numbers,” the Guggenheim CIO described:

You’ll be talking about $400K to $600K per bitcoin … That’s an indication of what might be a reasonable value. That provides you a great deal of room to run.

However, Minerd warned, “I don’t truly see the institutional support today, which is simply coming online from the likes of individuals like Blackrock and Guggenheim and other large institutional financiers, being enough to support the assessment at its present level.” Mentioning that bitcoin has “had a setback of 50% from its high,” he asserted, “I wouldn’t be amazed to see that happen again.”

However, Minerd concluded:

Cryptocurrency has entered into the realm of respectability and will continue to end up being increasingly more crucial in the international economy.

The Guggenheim CIO appeared bullish about bitcoin in December, when he predicted that the cost of BTC could reach $400K. However, he subsequently concentrated on the unfavorable element, mentioning that bitcoin’s parabolic cost increase was “unsustainable.” He also recommended financiers to sell their coins. Several people immediately explained on social media that Guggenheim had not bought BTC at that time. The asset management company filed with the U.S. Securities and Exchange Commission (SEC) to invest in bitcoin through Grayscale’s bitcoin trust; its filing ended up being reliable at the end of January. Some people believe that Minerd attempted to manipulate the rate of BTC in order for his company to buy low.

Another property manager that just recently talked about bitcoin going beyond the marketplace cap of gold is One River Asset Management. CEO Eric Peters expects the price of bitcoin to exceed $500,000.

What do you think about Guggenheim’s bitcoin prediction? Let us know in the remarks section below.

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