Wall Street Analyst Says Many Cryptocurrencies Are Overvalued

The explosion of Bitcoin in the mainstream market has led to the development of other cryptocurrencies. There are over 1,600 digital currencies that are in development and circulation today, with many of them under-delivering, said Spencer Bogart, a blockchain venture capitalist and Wall Street analyst.

Because of this, Bogart suggested that these investors sell their alternate coins or altcoins. He counted digital currencies such as Cardano, TRON, IOTA, and NEO among those that should be disregarded. However, EOS, Ripple, Ethereum, and Bitcoin Cash should be held on to by investors, he said.

But Bogart did warn people about Ethereum. The caution is based on Ethereum being used as a platform by a lot of the new breed of digital currencies that promise venture but isn’t doing all that well in the current market. If most of these succumb to the volatility of digital coins and are dissolved, the platform it was built upon will surely take a hit.

It has to be noted that China ranked Ethereum first on their top 10 list of cryptocurrencies, which was recently released by the country. The list also had Cardano, IOTA, and NEO on it – all three of which are in Bogart’s negative review.

The Wall Street analyst remarked that Bitcoin and Ethereum will be able to weather the test of time and come out on top in the long term. Moreover, there are experts suggesting that the possibility of Bitcoin seeing an upsurge in value is imminent since its popularity has caught the attention of institutional investors. These dormant entities are still biding their time if they should commit to this nascent currency. And with the recent national fiat currency crisis and other such issues arising in the financial market, the transition to Bitcoin becomes a more enticing option.

This cryptocurrency is currently valued at just over the $7,300 mark as of this writing. Still, Bogart believes Bitcoin will finish the year at a value of $10,000 at the least.

But Fundstrat strategist Tom Lee has an even bullish claim. He believes that Bitcoin has the potential to rise at a $25,000 value, backing his statement with three vital factors in order for that number to be achieved. Again, institutional investors are among those three factors. But other crypto critics are saying that digital currency analysts and enthusiasts are getting ahead of themselves by counting the commitment of institutional investors as something that is inevitable to occur.