Bill Miller: Bitcoin- Still A Safe Investment Despite Market Crash
Nicholas Otieno May 21, 2021 06:30
Despite Bitcoin investing receiving more attention about its volatility, renowned US fund manager and investor, Bill Miller, believes that there is still a good reason to own the crypto.
Several investors expressed their negative confidence and commented about its future development in the midst of the recent dip in Bitcoin (BTC) price. However, Bill Miller – an American investor and fund manager, remained confident in BTC.
In an interview on CNBC media outlets a few days ago, Bill Miller, the founder and CEO of Miller Value Partners investment management company, showed his support towards BTC once again and continues to have confidence in the leading cryptocurrency despite its recent plunge from $65,000.
Miller still considers Bitcoin a good investment regardless of its price fall and urges investors not to be discouraged by its recent dip as such events are somewhat normal. Furthermore, the hedge fund manager said that investors should find it more attractive that the price has declined significantly.
“If I liked something at higher prices, it is a safe bet I will like it even more at lower prices,” Miller told CNBC’s Kelly Evans in a statement.
Miller acknowledged that normally he is not keen on discussing Bitcoin’s value nor commenting on “normal fluctuations” in stock or asset prices. But currently, he has been motivated to comment on the price now that the Bitcoin market is under intense pressure and the obstacles are quite unusual.
He termed the falling price of Bitcoin in March 2020 as a “historic four-week drop” but considered the crypto’s recent decline in price as “pretty routine.”
Although Miller said that Bitcoin’s dip might lead to “extreme consequences” for the financial industry, he stated that the crypto will soon be back to its previous position, and the turbulence will settle down.
Bitcoin for Corporations
Miller remains bullish on Bitcoin, a time when some fund managers see the cryptocurrency looking “very frothy.”
In February, Miller commented on Bitcoin’s rally when the crypto traded above $55,000, stating that he did not believe the crypto was a bubble. During that month, Miller invested 15% of its value fund “the Miller Opportunity Trust” assets into Grayscale’s Bitcoin Trust. Actually, the trust invested more than $300 million into Bitcoin through Grayscale’s Bitcoin Trust.
In a letter to investors, Miller described Bitcoin’s potential as a good investment for maximizing profits. The Miller Opportunity Trust is a good example of institutional investors that have put 10%-15% of their funds’ net worth indirectly into Bitcoin, understanding the risks and advantages associated with incorporating the crypto into their portfolios.
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