Bitcoin is the sign of greed, warns Federated Investors representative

The recent interview of Steve Chiavarone, portfolio manager of Federated Investors (founded in 1955, which makes it half a century older than Bitcoin), demonstrates he is not sure that the motivation of Bitcoin investors is purely rational. He says that Bitcoin has become one of the first greed-based assets since the Great Recession following the economic crisis of 2008. The avarice of investors, this might mean, demonstrates that the market has become healthy once again, although Mr. Chiavarone does not explicitly state so.

This opinion resembles the view of Benjamin Carlson from Ritholtz Wealth Management. During the unexpected growth of Litecoin in December 2017, he emotionlessly noted that this growth is irrational and motivated by the share price, which is, as demonstrated by examples from the fiat market, does not necessarily mean an autopilot towards high investment returns.

Current Bitcoin price has stabilized around 10,000 U.S. dollars, which financial analyst Alexander Kuptsikevich, who works at FxPro, recently connected with the closure of first Bitcoin futures contracts.