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- 43% of the fund managers thought that Long bitcoin was crowded
- BTC values are fluctuating
- Only 15% of fund managers say BTC will do well in 2021
The news.bitcoin.com reports that the Bank of America Survey or BOAS has revealed that ‘Long Bitcoin ‘is the most crowded trade. However, in the same vein, it found that 75% of Fund Managers See BTC as Bubble.
BitcoinLong is buying Bitcoin with the expectation of the price rising in the future. In other words, bitcoin’s long or longing bitcoin is buying when the prices are low and selling at a profit later when the prices rise.
The BOA fund manager survey was published on Tuesday, and it revealed that the “long bitcoin” long bitcoin is the most crowded trade in the world. It was a jump from last month when long bitcoin was the second-most crowded trade. The survey was conducted among 216 fund managers who managed $625 billion worth of assets between them. Bitcoin had topped the list in January, and it also topped the chart during the 2017 Bull Run.
Majority of Fund managers dub BTC as a bubble
The fund managers also managed long technology, long ESG, and short-term US treasuries. However, what the fund managers said later was even more intriguing. Three-fourths of the fund managers surveyed said bitcoin is in a bubble zone. Last month the figure was 74%. The Bank Of America staff had also warned that Bitcoin is a bubble waiting to burst, and the bank’s chief investment strategist dubbed BTC as the mother of all the bubbles.
85% of Fund managers felt BTC would not do well in 2021
The survey revealed that 43% of the fund managers thought that Long bitcoin was crowded. The survey also revealed that most fund managers were skeptical that BTC would perform better in 2021.
The news.bitcoin.com quoted BOI, which showed that in the past, the volume of crowded trades was based upon several factors like tech stocks in September 2020 and 2019, US Treasuries in March 2020. Less than 15% of fund managers said that BTC would perform better in 2021.
BTC values are fluctuating
The world’s largest crypto coin is having a difficult time with its values fluctuating wildly. At one stage it reached below $40,000 level, which was worse than the February carnage when BTC values went for a free fall. Elon Musk‘s tweet that Tesla will not accept BTC as payments due to environmental worries sent the most significant crypto coin into a free fall. A rumor-making round that Tesla plans to sell its $1.5 billion BTC also caused havoc to BTC values. The rumor was later refuted by Tesla, but the damage was done.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
