Crypto analyst and investor Lark Davis says altcoins are in a position to print 100x gains as big-time players and retail investors dive into digital assets other than Bitcoin.
In a new video, Davis offers his rationale as to why he believes altcoins will skyrocket next year.
“We are starting to see [it’s] not just the retail investors who are buying crypto outside of Bitcoin. We are also seeing high-net-worth individuals coming in and, yes, we are seeing institutional involvement in the altcoin markets.
But do not discount those retail investors either. They are going to pump altcoins super hard, super, super hard, all of which says to me that altcoins, not Bitcoin, is how to get rich in 2021.”
The influencer highlights a number of crypto assets that institutional players are investing in.
“The simplest and clearest evidence of this fact is the $1.2 billion worth of Ethereum (ETH) that institutions have invested in via the Grayscale investment trust. $1.2 billion worth of Ethereum. That’s a lot. And we are starting to see institutions looking beyond Ethereum.
We do have evidence of funds getting into those more exotic altcoins. As an example, Galaxy Digital, they’ve just invested in two crypto funds: ParaFi, which is an active member of the Maker DAO governance and Robot Ventures which has close ties to Compound Finance. Last week, we saw that Polychain Capital announced they invested $8 million into yearn.finance’s YFI token and another firm called Three Arrows Capital, they bought $10 million worth of Chainlink yesterday. That’s [a] pretty big move.
Famous investment firm Andreessen Horowitz, they’ve been in crypto DeFi (decentralized finance) stuff for a long time. In fact, they’re a leader in this. They have big investments in things including Synthetix as an example. So the funds, they’re getting into it.”
Davis highlights that it’s not just the crypto firms that are getting into the altcoin action.
“We have $9.2 billion hedge fund SkyBridge. They’re seeking SEC (Securities and Exchange Commission) approval to invest in crypto and they were clear to say, ‘We’re not just looking at Bitcoin.’ Meaning quite simply, they’re going to be buying altcoins…
One of the biggest commercial banks in Thailand is also investing in DeFi via their collaboration with a recently listed on Binance token called Alpha Finance. Also according to a new report, we’re going to see high -net-worth individuals coming in as well so the number of millionaires wanting to buy cryptocurrencies is on the rise.”
In addition to high-stakes money players, Davis says retail investors may also serve as one of the main catalysts that could drive altcoins to new highs.
“According to data from Coinbase, only 25% of the users stay Bitcoin-only investors… PayPal and PayPal-owned Venmo are offering access to Bitcoin, Ethereum, Bitcoin Cash (BCH), and Litecoin (LTC) with more coins rumored to be added soon. That’s going to pump up altcoins like crazy, 346 million customers guys.”
I
Follow Us on Twitter Facebook Telegram
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Tithi Luadthong