By Tyler Durden
Standpoint researcher Ronnie Moas raised his price target for bitcoin from $5,000 to $7,500, according to CNBC. Moas raised his price target after bitcoin reached the new all-time high this weekend.
Moas his belief that hedge funds and more traditional investors are just starting to invest in bitcoin. Many expect that the CFTC’s decision to authorize the creation of the first clearinghouse for bitcoin options and swaps will hasten adoption by hedge funds and other more sophisticated traders.
“What’s happening is the floodgates are opening,” Moas, founder of Standpoint Research, said in a phone interview with CNBC on Monday.
“I believe there are hedge funds and very deep-pocketed individuals going into this now, really hundreds of millions of dollars.”
The longtime stock analyst first explained his bullish case in a research report published last month.
Moas also believes that central banks will soon discover bitcoin’s usefulness as a reserve asset.
As institutional investor interest in bitcoin grows, Moas expects digital currencies to become part of “strategic reserves” and “asset allocation models in the near future.” He also said people in foreign countries will likely want to buy digital currencies as a more stable alternative to their national currencies.
“You can’t look at this as …read more