“New technologies that shift the paradigm take a long time to really understand,” Demirors, chief strategy officer at digital asset manager CoinShares, says.
Except for a brief rally in July, bitcoin has been losing value since briefly topping $19,000 in December. Despite that, if feels that time continues to legitimize cryptocurrency.
“The narrative around bitcoin is still really hard to grasp,” Demirors said. “Really the only metric we have for most cryptocurrencies is the price, and price is such an imperfect metric. What does actual utilization look like? That’s really the struggle for crypto right now.”
“What we saw in crypto was this massive run-up, where everyone got fear of missing out. What it caused is a speculative bubble,” Demirors said. She said it isn’t clear when bitcoin might begin to regain value but “…we are starting to see real traction. A lot of it is really dependent on finding those data points, those metrics, that are going to drive that growth story,” she added.
