• Market Cap: $1,483,736,331,752.70
  • 24h Vol: $61,559,845,240.12
  • BTC Dominance: 49.66%
Bitcoin's stocks deemed 'massively overvalued' despite 100%+ price gains

Bitcoin’s stocks deemed ‘massively overvalued’ despite 100%+ price gains

– Bitcoin is predicted to deliver over 100% annual price gains, according to Dan Morehead, CEO of hedge fund Pantera Capital.

– Morehead warns that risk assets, particularly stocks, are at risk of a serious contraction due to being “massively overvalued.”

– He points out that equities are overvalued because the price-to-earnings ratio is at the same level as when interest rates were falling, despite rates now being much higher and rising.

– Morehead predicts that equities could be 23% lower than their current levels based on historical equity risk premiums.

– Despite concerns about stocks, Morehead is optimistic about Bitcoin’s future, stating that it has a 14-year trend growth of 145% per year and will continue to double in value annually.

– However, some analysts warn that Bitcoin may experience a major retracement before the 2024 block subsidy halving, potentially around March next year.

– Bitcoin has managed to decouple from its positive correlation to stocks, which is seen as a bullish signal for the cryptocurrency.

– This article does not provide investment advice and readers should conduct their own research before making any investment decisions.

Please enter and activate your license key for Cryptocurrency Widgets PRO plugin for unrestricted and full access of all premium features.