all about cryptop referances
Shark Tank star Kevin O’Leary, aka Mr. Wonderful, says he bought the dip during the recent cryptocurrency market selloff. He added: “Now crypto itself desperately needs policy. It needs regulation.”
Kevin O’Leary shared his crypto market outlook and investment strategy during this bear market in an interview with Stansberry Research, published Thursday.
“I see bitcoin kind of testing $20,000 all the time, getting a lot of resistance,” he said when asked about the state of the cryptocurrency, adding that BTC looks to be holding between $20K and $23K. “Still very profitable for bitcoin miners currently mining at around $7,000 per coin at scale,” he opined.
“There has been a backlash against bitcoin miners lately because of ESG [environmental, social, and corporate governance] concerns, but they’re also self-correcting by getting into nuclear and hydropower, which you know are plentiful in some countries like Norway,” explained O’Leary.
The Shark Tank star continued:
Now crypto itself desperately needs politics. It needs regulation.
O’Leary explained: “There was a bill just two weeks ago that was being considered to be pushed through, not on bitcoin, just stablecoins as payment systems. And as you know, it’s been a very volatile area.”
Noting that the bill “has been stalled for September,” he emphasized: “I think there’s a 50-50 chance that we’ll have policy on basically stable currencies pegged to the US dollar.”
Mr. Wonderful detailed:
Let me explain specifically why I think that will happen. There is a turf war going on between the SEC and all other regulators when it comes to crypto, NFTs, tokens – all of it.
“The smart regulators, the politicians, are saying, ‘Wait a minute, let’s take one result. Let’s just make payment systems, just like a credit card, a Visa card or a money market fund, that have very limited flexibility in terms of what you can hold the.’ Basically, government bills and dollar-for-dollar cash — the same with a payment system like a stablecoin, the Shark Tank star noted, adding:
If that policy falls. Let’s say it will be done in September. It’s a signal to the market that we’re starting to break up policymaking issues, and I’m very optimistic.
O’Leary was also asked about his own crypto investments and what strategy he has used during this bear market.
“We got hit. We were at 20% and then it grew up to 23%, then it went down to 16% of the portfolio,” he said. “It was very volatile, but I’ve always said you’re going to get this volatility in an asset class which is not regulated because there is no institutional bid, so probably we are at the lowest level of 15%. We lost 40% of our value and now we have recovered [in] some projects. They have not all returned at the same pace.”
Naming bitcoin, ethereum, solana and polygon, which he called “the big players, the big market caps,” O’Leary revealed:
In some cases we doubled down. We took advantage of the extreme volatility and the big names like ETH and bitcoin. Why not add the position if you are going to stay for a long time.
Mr. Wonderful noted that the crypto asset class “is not correlated with anything that people thought,” including inflation.
What do you think of Kevin O’Leary’s comments? Let us know in the comments section below.
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