Holding BTC is dangerous, trusts fund manager David Tice
According to David Tice, a veteran investor in the management of the Prudent Bear Fund, holding BTC is currently dangerous as we read more in today’s Bitcoin news.
Bitcoin has done well over time, but according to David Tice, holding BTC is dangerous for your portfolio. Bitcoin’s decline to the $ 30,000 level has investors wary of a bearish force looming as the market has lost around 50% of its total cap since ATH a few months ago. Among the bearish voices was David Tice, a prominent investor known for managing the Prudent Bear fund until he began selling it during the 2008 crisis.
In an interview for Trading Nation, Tice is known as a pessimist in space and has warned of the dangers of investing in BTC under current conditions. He stated that Bitcoin’s spike to $ 60,000 is pretty impressive from that point of view and needs to be corrected, but the attention of government agencies and central banks is adding to investor aversion. Potential institutions create downward pressure. The turmoil from central banks such as the Bank of England and the Bank for International Settlements is growing with deeply negative remarks, which is why he considers it dangerous to keep them on.
Tice makes bearish calls in a bull market and analysis tends to dig deeper into the fundamentals and in this case regulatory uncertainty, Chinese repression, etc. make the market a dangerous place for BTC holders, especially those looking for a short term Expect recovery. He also stated that BTC is not acting as a store of value under the current conditions, so he recommends investing in gold or stocks of companies related to the industry. According to him, in addition to the natural rise in the price of gold due to irresponsible government activities, investments in mining companies can be profitable:
“I will own gold, especially gold and silver mining companies. These companies have never been cheaper … But add to this, we think gold will rise 20% year over year and these companies will be great opportunities. “
In the short term, he may be right, and when comparing BTC to gold, the precious metal has outperformed crypto since the second quarter of 2021. It’s important to note that the coin rose nearly 800% between 2020 and 2021, but has plummeted 50% since then. Gold, on the other hand, is up 21% at the same time, which proves its worth.
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