According to Jackson, Bitcoin could reach new all-time highs despite its current weak performance and the overall situation in the crypto market.
During market downturns, investors exaggerate fear, so Bitcoin's long-term potential becomes unclear amid the crypto market's intense volatility.
The top manager cited the example of the American used car sales service Carvana. In 2022, the company's shares plummeted from $400 per share to $3.50. The company later restored its share price through debt restructuring and "operational improvements." Despite negative investor sentiment, people still use this car sales platform for its convenience, the head of EMJ Capital noted. Jackson believes a similar situation should occur with Bitcoin.
Jackson compared Bitcoin to gold, which continues to be a reserve asset for central banks. Unlike gold, Bitcoin is fully programmable and not controlled by governments, and its supply is limited to 21 million coins.
The head of EMJ Capital believes that in 20 years, Bitcoin will not just be a store of value, but a fully-fledged part of the financial system. Despite significant volatility, Bitcoin's fundamentals (such as the halving of the miner reward and large-scale corporate investments in the cryptocurrency) remain strong, Jackson said.
Earlier, EMJ Capital analysts predicted that Ethereum could reach $10,000 by the end of last year thanks to the tokenization of real assets and the development of second-layer solutions based on Ethereum.