Jordan Belfort, the self-proclaimed â€œWolf of Wallstreetâ€ has moved away from his bearish views on bitcoin and now predicts the crypto asset might reach $100,000. Belfort, who has reinvented himself as a motivational speaker and consultant, says bitcoin unlike company stocks is more about â€œpure supply and demand.â€ He adds that the crypto asset is â€œfree from the distortion of effectively printing more of your own corporate currency.â€
Bitcoinâ€™s Fixed Supply Distinguishes It From Stocks
Belfortâ€™s remarks about bitcoin (BTC) were made during an interview with Fortune where he offered his take on Gamestop stockâ€™s recent Reddit inspired price rally. While some observers have viewed the Gamestop price rally as another form of pump and dump, Belfort disagrees. Although he concedes that traders were â€œcollectively pumping up these stocksâ€ he, however, insists there is â€œno dump.â€
Meanwhile, when compared to company stocks, Belfort concludes that the crypto assetâ€™s fixed supply gives it an advantage over shares. The former penny stock trader argues that â€œif a stock stays up too long, the company keeps printing shares.â€ However, this continuing issuance of shares will lead to dilution of value.
On the other hand, bitcoin â€œdoes not have the equitiesâ€™ problem that high prices tend to bring on more supply (thus) turning the surge into a swoon.â€
Belfort Now Bullish on Bitcoin
On why he turned from being a bitcoin bear, Belfort again points to the crypto assetâ€™s fixed supply as its key â€œadvantage over company stocks.â€ He adds:
In 2017, when the crypto asset surpassed $19,000, Belfort, who was sent to prison for nearly two years for fleecing small investors out of $200 million, predicted that bitcoin would crash and â€œgo away forever.â€ The former penny stock trader argued then that regulators â€œwould nix the coins.â€
However, after seeing the crypto asset set another all-time high, Belfort says he â€œnow believes itâ€™s here to stay since a fatal regulatory onslaught hasnâ€™t happened.â€
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