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On Saturday (January 19th), Alistair Milne, the Monaco-based Co-Founder and Chief Investment Officer (CIO) of cryptocurrency-focused hedge fund Altana Digital Currency Fund (ADCF), said that he remained bullish on Bitcoin (BTC) and explained why.
Altana Wealth Ltd (“Altana”) is "an asset management company based in London with an affiliate company based in Monaco." Altana "manages assets on behalf of professional clients and eligible counterparties," and is "regulated by the Financial Conduct Authority in the UK."
This award-winning asset manager, which was "originally established in April 2009 by Lee Robinson to manage his personal estate," currently offers two crypto-focused funds:
- Altana Digital Currency Fund (ADCF). This actively-managed fund goes "long and short aiming to capture the excess volatility and outperform a passive investment", and invests "mostly in Bitcoin, but also trades other cryptocurrencies (Bitcoin Cash, Litecoin and Ethereum) with a market cap > $20 million."
- Altana Cryptocurrency Trade Finance (ACTF).
ADCF was "co-founded by Lee Robinson and Alistair Milne and started trading in May 2014." At Hedge Funds Review's "European Performance Awards 2018" (which took place on 22 November 2018 in London), ADCF won the "Best cryptocurrency/blockchain hedge fund" award, and CIO Alistair Milne won the "Rising star (hedge fund or FoHF individual)" award.
On Saturday, Milne took to Twitter to explain why he remained bullish on Bitcoin.
Milne started his tweetstorm by saying that right from the beginning (2014), his firm saw Bitcoin as an "asymmetric investment opportunity" and explained what this meant:
Still Bullish 1/6:
— Alistair Milne (@alistairmilne) January 19, 2019
As early Bitcoin investors, we used to speculate about how it was an 'asymmetric investment opportunity' ... i.e. you could lose 80% OR make several multiples on your investment
He then pointed out that this asymmetric nature of Bitcoin remained true today just as it did back when ADCF first started investing in Bitcoin, and that this meant that the Bitcoin price could easily fall further and it could also once again get to the all-time-high (almost $20,000) that was reached back in December 2017:
Now, with more regulatory certainty & BTC being ~80% down from ATH, the asymmetric opportunity is absolutely explicit. Bitcoin may drop and/or eventually retest its ATH (5x) ... at a minimum
— Alistair Milne (@alistairmilne) January 19, 2019
2/6
Next, he explained why the next time Bitcoin reaches that all-time-high, he won't be selling:
The probability that Bitcoin matches its ATH price again and doesn't then continue past it seems very low. Each wave of adoption is an order of magnitude bigger than the last. Price expectations of HODL'ers rises exponentially (I won't be selling at ~19k next time)
— Alistair Milne (@alistairmilne) January 19, 2019
3/6
Then, Milne noted that due to wide public awareness of Bitcoin, the next time that Bitcoin makes a comeback, the fear of missing out (FOMO) could result in a huge number of retail investors buying Bitcoin:
Bitcoin has reached mainstream awareness (almost everyone has heard of it) and so when it proves it is 'not dead' yet again, the FOMO will be larger than ever... (imagine 100mil people buying)
— Alistair Milne (@alistairmilne) January 19, 2019
Not to mention the massive progress in helping institutional money participate
4/6
Investors are now very aware that Bitcoin is like trading Gold with 100x leverage and, next year, Bitcoin's inflation/production rate will actually be *lower* than Gold's
— Alistair Milne (@alistairmilne) January 19, 2019
No-one appears to doubt the usefulness of Gold as an investment, they shouldn't doubt Gold 2.0
5/6
Finally, Milne said that the only cryptocurrency that he felt sure would still be around 100 years from now was Bitcoin:
It takes time for sentiment to change. 30-50million people owning crypto is not the industry's peak. The next bull run will decide which public blockchains persist for the next 100 years. I believe Bitcoin is currently the *only* sure thing
— Alistair Milne (@alistairmilne) January 19, 2019
6/6
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