The influential investment bank Saxo released a 35-page outlook for the second quarter of 2018. In it, cryptanalyst Jacob Pouncey noted the risks faced by companies in the first quarter of this year with respect to digital assets. Taking into account several factors, he believes that the next three months can become breakthrough for digital assets capable of provoking a "bullish" market.
In his forecast, Poncey notes that "the crypto-currencies returned to the ground in the first months of this year, after a sharp increase in late 2017. The situation remains unstable, given the prospects for increased regulation and bans on advertising in social networks. Nevertheless, we should not rule out the possibility of a huge return of investment in cryptocurrencies. "
Ponsi also notes that in the market there have been several major acquisitions of crypto-instruments by financial companies such as Goldman Sachs, who is an investor in ‘Circle’, which bought the Poloniex exchange, and Monex Group, which bought Coincheck and Yahoo Japan.
In addition, crypto-exchanges, such as Coinbase, were able to hire talented professionals from Silicon Valley, and they are in key management positions.
Ponsi concludes: "Several events can serve as springboards for the crypto-currency" bull market "in the second quarter through fundamental drivers [...]. In my opinion, in the end, we will see the end of the fall of the cryptocurrency. "
Many finance gurus expect that a light credit market will run out in the coming months as part of a hedge against inflation. This may mean that traditional shares will become less attractive, and the search for "uncorrelated assets" will begin.
These are "assets that lie beyond the reach of the traditional financial system, in which cryptocurrencies are a potential alternative," insists Ponce.
"Historically, many prestigious cryptocurrencies have grown in the face of global uncertainty and [...] the inflow of institutional capital into the cryptocurrency market due to increased regulation and protection of investors could lead to a positive dynamics in the second quarter of this year."
Last December, Saxo Bank made an awesome forecast for Bitcoin for 2019. Then analysts of the bank predicted that in 2018, the cost of Bitcoin is expected to rise to $ 60,000, after which it will collapse to the fundamental "manufacturing cost" of the $ 1,000 coin in 2019.