Vinny Lingham is a cryptocurrency expert, especially when it comes to Bitcoin. He became involved with it five years ago after a long and successful entrepreneurial career in his native South Africa.
He’s been founder and CEO of several projects. Civic, Gyft (sold to First Data Corp), SilconCape (an initiative to turn Cape Town into a tech hub), and incuBeta. He was considered one of the world’s top 500 CEO’s in 2015. And, yes, he’s got credibility when it comes to Bitcoin as he sits in the Bitcoin’s Foundation board.
Fast Money, a CNBC show calls Mr. Lingham “The Bitcoin Oracle” and interviews him occasionally to gain insight into the cryptocurrency market. The latest interview happened just yesterday. The show’s anchor asked Mr. Lingham for his opinion about the current market conditions for Bitcoin and future prospects.
Mr. Lingham was very clear and to the point. He said he expects Bitcoin to remain bouncing between the $3k and $3.5k levels for a few more months. But if no bull run materializes in about six months and the coin remains stuck, then it will break the $3k support level to go downwards.
He explained further that a problem in the current market is that too many investors are guided by price instead of paying attention to the fundamentals, and that’s what’s been driving the price down.
In Mr. Lingham’s view, Bitcoin is not ready to be a means to store wealth. That’s painfully clear to anybody who bought bitcoins when the price was above USD 10,000. On the other hand, Bitcoin is a very successful payment network that is moving almost as much money as MasterCard on a daily basis.
On reasons to be positive, the Bitcoin Oracle was rather scant. He believes Bitcoin to be too much of a risk as things stand. The great risk is the only way to rip great rewards, as he pointed out, but he was very clear in that it would be so much safer to buy bitcoins when the level goes back up to USD 6,000.
While we don’t believe that this, or any other expert, is an actual Oracle, we do agree with some of his points. The cryptocurrency market would surely be better off if the fundamental analysis was used more than technical analysis.
In other words, if crypto enthusiasts were more interested in coins with real value instead of following speculative trends to make quick money. Let’s remember that Bitcoin is still the same whether the price is high or low. The price doesn’t change its usefulness and value, and the same goes for every cryptocurrency.
As we probably mentioned in this site many times already, Bitcoin, XRP, Tron, XLM, ETN, and a few other digital assets are slowly but surely showing the planet that some real-world problems have no better solution than cryptocurrencies and blockchain technologies. That is making the assets useful in many ways; it’s giving them a competitive advantage which will lead to mass adoption as time keeps progressing.
Adoption will change the game for everybody because those few useful coins will have great demand, and the market price will respond to value in the real world and realistic economic forces instead of sheer speculation, which is the main force behind the current market. But until that happens, winter is here indeed.
Image courtesy of Pixabay.