Bitcoin will rise because Wall Street is joining in

  • Alexis Ohanian, co-founder of Reddit and Managing Partner at Initialized Capital, said that big players from the Wall Street invest in Bitcoin (BTC). 
  • After the market crisis in March, the ecosystem has entered a “crypto spring”.

In recent weeks, the “Community Points” project launched by Reddit has been celebrated in crypto space as a game changer. Launched on the Ethereum blockchain, the project aims to introduce new incentives to promote the creation of quality content.

In a recent interview, Reddit co-founder and Managing Partner of Initialized Capital, Alexis Ohanian, said that these kinds of initiatives are evidence of a new era for the crypto space. Ohanian believes the industry is in a “crypto spring”:

I try not to track prices, I can’t predict any of that stuff. What I can say is we really do see a crypto spring right now in terms of top-tier engineers, product developers, designers, building real solutions on top of the blockchain. And that to me is the most interesting part… We’re seeing really top-tier talent building on the infrastructure.

Wall Street OGs go for Bitcoin

Bitcoin and the crypto market have had months of high volatility, despite showing signs of recovery as the cryptocurrency remains in the $9,000 to $9,500 range. In March, selling pressure and the emergence of the coronavirus (Covid-19) caused a crash known as “Black Thursday”. At that time BTC fell to $3,700.

However, Bitcoin has managed to maintain and recover the positive performance it had started the year with. Even outperforming products with a seemingly “more stable” market, such as oil. This has not gone unnoticed by the big players on the Wall Street. Reddit’s co-founder believes that the interest that Bitcoin has generated has earned it a permanent place in the market:

It’s interesting to see OGs of Wall Street now getting into crypto and buying bitcoin. It’s increasingly showing that it’s here to stay.

This is supported by the announcement of macro investor and billionaire Paul Tudor Jones. The investor recently revealed that he will use Bitcoin as a store of value. One of the main reasons behind Jones’ decision is the inflationary policy being pursued by the U.S. Federal Reserve to try to mitigate the crisis caused by the pandemic (Covid-19).

In addition to Jones, Wall Street giant Goldman Sachs is studying the impact of the Fed’s policy on inflation. Goldman Sachs invited its clients to a May 27 call to review the above, but Bitcoin will be the main topic of the call.

Finally, Reddit’s co-founder declared himself a believer in Bitcoin. According to Ohanian, a portion of his estimated $70 million fortune is in crypto. Though he didn’t specify an amount, Ohanian said:

I’ve had a percentage of my wealth in crypto for quite some time now and I still feel pretty good about it, I don’t want to change too much of it.

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