In theory he is right. In practice right now, ETFs and other financial products that let more people purchase it are necessary to inject more stability into the market. An ETF (or 10) with a large market volume would take over price discovery from the exchanges. More market depth on the exchanges, in part funded by ETF investments is important for price discovery and stability.
So, what he says is true, it isn't always reflected in the fiat price.
Topic: [2020-10-08] Bitcoin Can't be Correlated to Traditional Assets - page 2. (Read 266 times)
If you follow the bitcoin (BTC) price movement, it will seem connected to traditional assets - but it can't be, as it's the opposite of today's financial infrastructure, according to Chamath Palihapitiya, CEO of venture capital firm Social Capital, Chairman of commercial spaceline Virgin Galactic, and a former Facebook executive.
"The more people obsess about price action and the more that they want it to behave like a stock or a bond the more frustrated they're going to get they're going to find ways of connecting dots that don't exist; it's just not what it is," said the investor in a recent interview with CNBC.
In that case, BTC might appear correlated to other assets, he said:
"But the reality is it's fundamentally not, because it is underpinned by a set of beliefs that are completely orthogonal to the orthodoxy that runs the world today, and it is completely the inverse of how the financial infrastructure of the world operates."
https://cryptonews.com/news/bitcoin-can-t-be-correlated-to-traditional-assets-virgin-gal-7930.htm
"The more people obsess about price action and the more that they want it to behave like a stock or a bond the more frustrated they're going to get they're going to find ways of connecting dots that don't exist; it's just not what it is," said the investor in a recent interview with CNBC.
In that case, BTC might appear correlated to other assets, he said:
"But the reality is it's fundamentally not, because it is underpinned by a set of beliefs that are completely orthogonal to the orthodoxy that runs the world today, and it is completely the inverse of how the financial infrastructure of the world operates."
https://cryptonews.com/news/bitcoin-can-t-be-correlated-to-traditional-assets-virgin-gal-7930.htm
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