Mark Yuso, the founder and chief investment officer at investment management firm Morgan Creek Capital says Bitcoin (BTC) and the crypto market are braced for a parabolic bull run in 2024. The revelation came during separate interviews he gave to CNBC and Cointelegraph.
The executive said that the crypto sector is currently in the early stages of a fresh bull market, driven by BlackRock’s Bitcoin exchange-traded fund (ETF), that could last until April 2024 when Bitcoin goes through its next halving event.
Bitcoin halving occurs once the network mines 210,000 blocks, which takes place roughly once every four years. At this stage, the block reward given to Bitcoin miners for processing transactions on the blockchain is cut in half.
The event is called halving because it also cuts the rate at which new BTC is released into circulation by half. The reward system is to continue until about 2140 when the pre-determined limit of issuing 21 million Bitcoins is reached.
Bitcoin Spot ETF’s Are Going To Be The Catalyst For The Bull Run Before Halving
Yusko attributes the latest rally to BlackRock’s application for a new Bitcoin exchange-traded fund (ETF), which was accepted by the U.S. Securities and Exchange Commission (SEC) on July 11.
The iShares Bitcoin Trust was added to the federal registry and is undergoing a 240-day review process. If approved, the ETF listed on the Nasdaq stock exchange will become the first spot Bitcoin ETF in the U.S.
The Morgan Creek Capital chief explained that the market had just entered the so-called “seasonal period of crypto summer”, driven by the upcoming Bitcoin halving event which then leads to a period of mass accumulation of the digital asset. He predicts that the market will have a “speculative” blow-off right after the halving and then an “overreaction” on the downside called crypto winter.
Yusko is confident that BlackRock’s Bitcoin ETF application will be approved by the SEC. He believes it is already a done deal and was only a matter of when. Yusko says the iShares Bitcoin Trust will become one of the catalysts for the next parabolic crypto bull run.
Bitcoin Will Replace Gold As The Original Form Of Money
Another major claim made by the Morgan Creek Capital executive was the best-case scenario use for the original cryptocurrency. He reiterates that Bitcoin is poised to replace gold as money.
According to Yusko, BTC is digital gold and will serve its purpose in the digital age. He believes gold is the original form of money that exists as an asset in the absence of liability. Gold is used by governments as a base layer to back their debt-based currencies that facilitate commerce in their respective economies, explained the CIO.
The Morgan Creek Founder says that after being in use for over 5,000 years, gold will be replaced by Bitcoin as original money in the new age due to its ultra-portable and divisible nature. The permanent and immutable digital ledger technology (DLT) that backs Bitcoin will play a major role in the future of finance, predicts Yusko. He added that moving forward, other blockchain networks like Ethereum (ETH) will be applied to key areas of the financial system.
Bitcoin Accumulation Is Growing Fast Despite A Down-Trending Market
Yusko’s observations were confirmed by Glassnode in its latest Bitcoin Accumulation Trend Score report. The crypto analytics firm found that despite a negative market trend over the past year, investors are accumulating more Bitcoins than they were selling.
According to Glassnode, Bitcoin’s long-term holder supply remains at an all-time high of 14.5 million BTC. Meanwhile, major crypto platforms are integrating Bitcoin layer-2 scaling solution, the Lightning Network, to enable faster and cheaper Bitcoin transactions.
At the time of writing, Bitcoin (BTC) is trading at $30,164, up 0.2% in the last 24 hours. Currently, the world’s most traded cryptocurrency has a market valuation of $585 billion.
