Fund Manager Bill Miller Says Bitcoin Is Not a Bubble — BTC Entering Mainstream as Demand Grows Faster Than Supply

Fund Manager Bill Miller Says Bitcoin Is Not a Bubble — BTC Entering Mainstream as Demand Grows Faster Than Supply

Bill Miller, the founder and chief investment officer of Miller Value Partners, does not think bitcoin is a bubble. Instead, he said it is at the beginning of mainstream adoption. Remaining bullish on the cryptocurrency, the famed value investor explained that bitcoin’s price will rise as the demand for the crypto is growing faster than its supply.

Bill Miller Bullish on Bitcoin

Longtime value investor Bill Miller is the founder of Miller Value Partners and currently serves as the chairman and chief investment officer. He is also the co-portfolio manager for Opportunity Equity and Income Strategy funds. Prior to Miller Value Partners, he co-founded Legg Mason Capital Management.

He was asked in an interview with CNBC last week whether there is a lot more upside to the price of bitcoin. Miller replied: “There are many many different ways to look at bitcoin. The simplest way is just the supply and demand.” Emphasizing rising institutional interest in the cryptocurrency as it enters into the mainstream, he elaborated:

Supply is growing 2% a year and demand is growing faster. That’s all you really need to know, and that means it’s going higher … I don’t think this is a bubble at all in bitcoin, I think this is now the beginning of a mainstreaming of it.

Comparing bitcoin’s recent rally to what happened in 2017 which he said “was a bubble,” Miller acknowledged that the price of bitcoin will be volatile as seen in the recent price swings. “Even back then during the bubble, it went down 20% on five different occasions so with bitcoin, volatility is the price you pay for performance,” the asset manager opined.


Miller shares the same belief as many bitcoin investors that the cryptocurrency is “digital gold. “Gold is about a $10 trillion asset category and bitcoin is $1 trillion, and it’s infinitely divisible or almost so,” Miller said. “It’s easily transportable and can be sent anywhere in the world if you have a smartphone so it’s a much better version, as a store of value than gold.”

Furthermore, he pointed out:

There’s $15 trillion of negative-yielding bonds out there so why would you have that when you can own something that at least has the potential to go up.

While Miller does not think that bitcoin is a bubble, some fund managers do. Guggenheim CIO Scott Minerd recently said bitcoin looks “very frothy,” warning of a major correction that could push the price of the cryptocurrency down to between $20K and $30K. In addition, the Bank of America Fund Manager Survey for April shows that the majority of fund managers see bitcoin as a bubble.

Do you agree with Bill Miller? Let us know in the comments section below.

Share:

Share on facebook
Facebook
Share on twitter
Twitter
Share on pinterest
Pinterest
Share on linkedin
LinkedIn

Follow Us

Most Popular

Get The Latest Updates

Subscribe To Our Weekly Newsletter

No spam, notifications only about new products, updates.
On Key

Related Posts

Bitcoin above 20K AGAIN! Is Bitcoin Price Bullish Today?

The crypto market is moving still in a sideways trend. Trading cryptocurrencies is being favored by crypto enthusiasts rather than simply buying and holding. The reason for this is that consolidation phases are much more predictable thanks to technical analysis. Crypto traders are loving the current crypto dynamics in the market. After Bitcoin fell to

Breaking: Do Kwon Linked 3,313 Bitcoin To Be Seized? S. Korea Deepens Probe

Trouble for Do Kwon, Terra co-founder seems to be increasing after Interpol issued Red Notice against him. In the latest hit, South Korean authorities have moved on to deepen their probe against the alleged crypto fugitive. Do Kwon to lose his Bitcoins? According to reports, South Korean prosecutors are moving… Read more

Bitcoin Skyrockets As Stock Market Crashes, Is It Breaking Correlation

The crypto market is experiencing a surprise bounce. Bitcoin has rallied from the $18K-$19K range to cross the $20K mark. It has increased by over 5% in the last 24 hours and is currently trading at $20.1K.  However, since the stock markets are dumping, Bitcoin looks to break the correlation…. Read more

Bitcoin and Crypto Defy Wall Street Meltdown With Strong Rally

Wall Street started the week in a correction mode with all three top U.S. indices correcting 1% on Monday, September 26. However, Bitcoin and the broader crypto market have made a surprising move northwards with the BTC price shooting past $20,000 levels. With the recent BTC move, more than $14… Read more