When big money start addressing one of the most important aspect of the cryptocurrency market, START TAKING IT SERIOUS. Lots of technical developments have been taking place in the cryptocurrency ecosystem over the years that has spur interest from some of the minds in the world. Much of this developments have led to hundreds cryptocurrency projects tackling varying issues of society mainly around finance and trade. The grasp of the cryptocurrency knows no boundaries as every imaginable aspect of our daily life is being tackled with blockchain base solution. This has led booming market where billions of dollars are traded on a daily basis. Of recent there has been a push to get more of the traditional players involved but few has taken up the offer as regulatory issues still plague the ecosystem forming a dark cloud over it. Most governments have taken a 'wait and see' approach with commentary from the likes of US and Japanese government on varying issues. Nonetheless, its anyone guess where they end up with the cryptocurrency enthusiast continuing to build and innovate with the dark cloud over their head. Given all these challenges it important to take notice when big money start addressing important aspect of the cryptocurrency market.
According to the Financial Times, hedge fund manager Alan Howard who has an impressive fortune of $1.35 billion is set to launch a new cryptocurrency venture that is expected to manage up to $1 billion in digital assets. The purpose of the fund is to tackle the problems related to the governance of the new asset class.
When people with the reputation like Alan Howard start setting up venture fund to tackle problems related to governance of cryptocurrency, this is as bullish as the approval of Bitcoin ETF. These are the kind of people capable of moving markets (hedge funds), they know the problems they face and they are willing to put their money on the line to deal with the issues. Also important to note, the fact that a Hedge fund manager is taking interest says a lot about what that circle (hedge funds) are thinking. This kind of circle can move the market up and down with ease.
Its time to forget about what the technical analyst are saying and think beyond, because when big money around, you Fibonacci and trendlines don't matter and given something as volatile as Bitcoin and all the other cryptocurrency, you could be left watching the charts and FOMO in when these guys are ready to sell.