The latest comments from several financial market gurus probably explain this cautious move in the digital currency market. In an interview, Warren Buffett, head of investment firm Berkshire Hathaway, said on Monday that bitcoin buyers were speculating on the sole hope of finding someone else willing to pay more than they. The Sage of Omaha resumed the comparison with the speculative bubble of tulip bulbs in Holland in the seventeenth century, and asserted that according to him, bitcoin was rise based above all on “fantasies”,”If you do not understand anything, you are all the more enthusiastic, people like to speculate, they like to bet.”
Warren Buffett, 87, added that investors had more interest in betting on US stocks than on bitcoin, saying the prices on Wall Street were certainly high, but they were not a bubble. On Saturday, at the Berkshire Hathaway annual general meeting, which attracts tens of thousands of people, Warren Buffett had already criticized the cryptocurrency market, saying he was attracting “a lot of quacks” .
Charlie Munger, the other Berkshire Hathaway guru, went even further, saying Bitcoin “worthless” and calling it “artificial gold”. “The fact that it’s a smart computer science does not mean it should be widely used, and that respectable people should encourage others to speculate on it,” Munger summed up, still alive at 94. Munger said, “Now it’s not something I think the world needs.” Finally, Buffett’s main associate has called bitcoin trading “dementia”.
Bill Gates admitted having already owned Bitcoin, someone offered him for his birthday. The founder of Microsoft would have sold everything a few years later. “As an asset class, you do not produce anything, so you should not expect it to increase, it’s kind of pure ‘investment idol theory’,” he says. again launched Gates. The ‘greater fool theory’ referred to by the leader states that the price of an item is not determined by its intrinsic value, but rather by the irrational beliefs of market participants. “Bitcoin and ICOs (fundraising in digital currency), I sincerely believe that these are some of the most speculative things,” Gates also admits, who admits, however, that the technology behind the blockchain does not lack interest.