The global crisis and turmoil in the financial markets are causing many investors to consider whether cryptocurrencies like Bitcoin are a good investment for them. A Japanese analyst predicted high institutional institutional demand for Bitcoin after the corona virus crisis, citing three main reasons why the cryptocurrency is an attractive investment.The Covid-19 pandemic has led to an unprecedented economic crisis, which the IMF calls it the worst recession since the Great Depression. Companies are missing their earnings estimates and many traditional investments have suffered across the board. The crisis has prompted investors to look for safe investments, and more and more people are now wondering whether cryptocurrencies like Bitcoin are a good investment.Bitcoin Lab CEO, Tetsuyuki Oishi, a cryptanalyst at Japanese financial firm Fisco, said three reasons earlier this week are why he sees significant institutional investor demand for cryptocurrencies after the pandemic.
Statement from CEO of Lab
First, he said that the stock market could become less attractive after the corona virus crisis due to the decreased demand for many companies’ products, which would result in a long-term decline in corporate earnings. He continued:
“The biggest consensus is that a V-shaped stock price recovery is difficult. Therefore, investors have to look for investment opportunities other than shares. Investors cannot just invest everything in cash.”