Guggenheim Investments, an asset management firm with over $230 billion under management, has valued bitcoin at $400,000 based on fundamental analysis. Guggenheim wanted to invest in bitcoin when the price of the cryptocurrency was at the $10,000 level. The company is currently waiting for approval from the U.S. Securities and Exchange Commission (SEC) to start investing in bitcoin.
Guggenheim Forecasts $400K Bitcoin, Regulation Delays Investments
Guggenheim Global Chief Investment Officer Scott Minerd talked about bitcoin’s valuation on Bloomberg Markets Wednesday as the price of the cryptocurrency continued to soar to another all-time high.
The global asset management and investment advisory division of Guggenheim Partners, Guggenheim Investments has more than $230 billion in assets under management. Recently, the company informed the SEC that it may be investing 10% of its macro fund in bitcoin.
Minerd was asked about Guggenheim’s decision to buy bitcoin and whether the firm has already started purchasing the cryptocurrency. He was also asked how much of the bitcoin buy decision was tied to the Federal Reserve monetary policy. Minerd clarified:
Clearly, bitcoin, and our interest in bitcoin, is tied to Fed policy and the rapid money printing that’s going on.
He also revealed that Guggenheim is still waiting for the SEC to greenlight its fund that will invest in bitcoin. “We are not yet effective with the SEC. We are still waiting,” he confirmed.
“We made the decision to start allocating towards bitcoin when bitcoin was at $10,000. It’s a little more challenging with the current price of $20,000. It’s amazing over a short period of time how big of a run we had,” he opined, adding:
Having said that, our fundamental work shows that bitcoin should be worth about $400,000.
“Even if we had the ability
