Bitcoin mania ‘not a fad,’ says Wedbush analyst

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Wedbush Securities, a well-known asset manager based in Los Angeles, California, believes Bitcoin (BTC) will become an integral part of the global financial market.

Managing Director Dan Ives informed customers on Wednesday that the adoption of Bitcoin by companies is a much bigger story than just predicting the future price of the digital currency.

“We believe the story and topic here is much bigger than just investing in Bitcoin and predicting its future price, but rather the potential impact that crypto, blockchain and bitcoin will have on the technology and business world for the next decade could, “he said in a note received from CNBC.

He also explained why the so-called Bitcoin mania is not a fad:

“From Paypal and Square to companies like Nvidia, Tesla, IBM, Visa, Mastercard and many other companies in various industries, we believe that the trend towards transactions, Bitcoin investments and blockchain-driven initiatives will increase in the coming years than Bitcoin In our opinion, mania is not a fad, but the beginning of a new era in the field of digital currency. “

Wedbush Securities has been at the forefront of Bitcoin adoption since at least 2014. In a Wedbush report released the following year, Bitcoin was touted as a potential disruptor of the existing financial infrastructure, which is likely to cause its value to grow in value over time.

Bitcoin’s adoption history has accelerated over the past year after large institutions and corporations tried to grapple with the digital asset. This trend appears to be accelerating after Tesla confirmed that BTC allocated $ 1.5 billion of its cash reserves.

Although Bitcoin has a reputation for being extremely volatile, its price volatility appears to have subsided from the previous bull cycle that peaked in 2017. As Cointelegraph reported on Wednesday, Bitcoin’s 60-day volatility is significantly lower today than it was when the cryptocurrency topped near $ 20,000 in December 2017.

BTC price peaked at $ 51,721 on Wednesday, a new all-time high, according to data from TradingView.