Bitwise CIO: This decline is just a minor hiccup before Bitcoin steps towards 10-50 trillion dollars

According to a message from ChainCatcher, as reported by DL News, despite Bitcoin's recent heavy losses, Bitwise Chief Investment Officer Matt Hougan stated that this drop is just a minor episode before Bitcoin's valuation soars to between 10 trillion and 50 trillion dollars. In a report on Monday, Hougan wrote: "If it wasn't so volatile, it would be a footnote in history, fluctuating only below $150k and supported only by a small group of libertarians, crypto punks and speculators."

In short: "Bitcoin will either have global significance or be worthless." As Hougan made this prediction, Bitcoin and other cryptocurrencies along with the broader world market are being hit by multiple factors including Donald Trump's escalating trade war, disappointing performance results, scandals, hacker attacks and threats of US economic recession. Traders' reactions were lukewarm as they seemed disappointed that Trump did not announce large-scale purchases of Bitcoin. The bitcoin and cryptocurrency markets continued to fall over the weekend. But for Hougan this reaction misses the point; he believes that “strategic reserves are a big step forward; disappointment in the market is absurd.”

He pointed out that an executive order clearly states that the U.S. Treasury Secretary and Commerce Secretary "should develop strategies" for buying bitcoins as reserves. Hougan wrote: “Note that 'should', not 'can' or 'might', was used in the order - word choice in official statements is carefully chosen.”