Skepticism over Bitcoin’s ability to rise further has followed the asset for years, and will likely continue even if the price reaches into the millions, according to a Bitcoin adviser. 

“I think it’s going to be that way for a very long time,” The Bitcoin Adviser’s Luke Broyles told Natalie Brunell on the Coin Stories podcast on Friday.

“I think Bitcoin will be at $5 million, $10 million or more, and people will still be saying, Yeah, well it’s 8% of world assets now. It can’t go any higher, right?” he added.

Skepticism has followed Bitcoin (BTC) at every price milestone. Each time the asset has reached a new all-time high, critics have questioned its ability to climb further. During price corrections, many skeptics assumed it would never recover.

It may be an “exceedingly long period of time” before change

This year, Bitcoin reached several new all-time highs. Most recently, Bitcoin reached $124,100 on July 14, according to CoinMarketCap. Since then, it has pulled back to $108,978 at the time of publication.

However, Broyles argued that Bitcoin’s biggest hurdle isn’t technical but psychological, as most people still don’t believe it can improve their everyday lives. “Unfortunately, I don’t think a lot of people will make that switch until they see that,” he said.

“I think it is going to be an exceedingly long period of time,” he added.

Broyles suggested that Bitcoin merging with real estate loans will do much more for adoption than convincing Bitcoin skeptics to invest small amounts over time.

Bitcoin merging with real estate could push adoption faster

“Like, is it going to be harder to convince somebody who’s more skeptical of Bitcoin, hey, you should buy $1,000 of Bitcoin for the next 200 months. Or is it going to be “Hey, you can refinance your home and convert this equity into Bitcoin, right?” Broyles said.

Related: Bitcoin price loses key multiyear support trendline: A classic BTC fakeout? 

“I think that is going to blow people’s minds,” he said.

A lack of understanding is still one of the biggest obstacles to crypto adoption. According to an August 2024 survey conducted by Australian crypto exchange Swyftx, 43% of 2,229 respondents said they hadn’t used the tech because they were unsure how it works. 

Magazine: The one thing these 6 global crypto hubs all have in common…

]]> https://earlybirdsinvest.com/skepticism-bitcoin-can-go-any-higher-will-persist-at-10m-analyst/feed/ 0 55985 https://earlybirdsinvest.com/bitcoiners-skepticism-over-institutions-isnt-going-away-preston-pysh/ https://earlybirdsinvest.com/bitcoiners-skepticism-over-institutions-isnt-going-away-preston-pysh/#respond Sat, 23 Aug 2025 03:29:57 +0000 https://earlybirdsinvest.com/bitcoiners-skepticism-over-institutions-isnt-going-away-preston-pysh/

Early Bitcoin adopters aren’t likely to stop being skeptical of institutional adoption anytime soon, says Bitcoin venture fund Ego Death Capital co-founder, Preston Pysh.

“Part of that culture that brought it to where it is, is looking at where this is all going and saying no, no, no, no, this is all moving in a bad direction,” Pysh told Natalie Brunell on the Coin Stories podcast on Friday.

Pysh said that institutions engaging in “institutional-like things,” such as Bitcoin (BTC) derivatives, have some Bitcoiners concerned about the long-term impact and whether Bitcoin can still serve as the safe-haven asset it once was.

“Am I being scammed, like all the other scams that preceded this wave?” is a question Pysh says some of the Bitcoin community are asking as institutional interest grows.

Bitcoiners who pushed it past $1 trillion worry about its direction

The comments come amid ongoing debate in the Bitcoin community over whether growing institutional interest is moving Bitcoin away from its original purpose.

“For people who have made Bitcoin what it is, getting it here, over a trillion dollars, involved individuals, for the most part, self-custodying Bitcoin, holding onto the keys for dear life through 70% and 80% downturns and still not selling them,” Pysh said, adding:

“The term we like to throw around is we’re Bitcoin psychopaths.”

It comes nearly a month after a heated debate on social media when crypto analyst Scott Melker, also known as The Wolf of All Streets, said that Bitcoin “is amazing” but has been taken over to some extent by the people it was created as a hedge against.

Meanwhile, Ryan McMillin, chief investment officer at Merkle Tree Capital, recently told Cointelegraph that old Bitcoin being sold to new institutions is a sign of its “integration with the financial system.” 

Institutions will use Bitcoin “very differently” than individuals: Pysh

Pysh explained that the Bitcoin ethos is being challenged, and he expects it to continue facing scrutiny as institutional interest expands.

“I think that it’s going to move in a direction where a lot of people use Bitcoin the way they wanna use Bitcoin, especially institutions, who are going to use it very differently to how individuals use it,” Pysh said.

Related: Bitcoin price charges to $116K as Fed’s Powell hints at interest-rate cut

“That’s a difficult pill for people to swallow,” he said.

“At large, part of the Bitcoin culture is to be pretty much skeptical of everything and to question everything,” he added.

According to a March 18 report by Coinbase and EY-Parthenon, 83% of institutional investors surveyed said they plan to increase crypto allocations in 2025.

Magazine: Bitcoin’s long-term security budget problem: Impending crisis or FUD?

]]> https://earlybirdsinvest.com/bitcoiners-skepticism-over-institutions-isnt-going-away-preston-pysh/feed/ 0 54656 https://earlybirdsinvest.com/are-bitcoin-treasury-companies-good-or-bad-analysts-expand-on-skepticism/ https://earlybirdsinvest.com/are-bitcoin-treasury-companies-good-or-bad-analysts-expand-on-skepticism/#respond Fri, 22 Aug 2025 16:27:07 +0000 https://earlybirdsinvest.com/are-bitcoin-treasury-companies-good-or-bad-analysts-expand-on-skepticism/

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The rise of Bitcoin treasury companies has sparked an intense debate over whether they add stability or new layers of risk to businesses. Analysts from the global credit rating agency, Morningstar have expanded on the skepticism, pointing out that using cryptocurrencies such as Bitcoin as a primary reserve currency may weaken, rather than strengthen the stability of corporate treasuries.

The Dark Side Of Bitcoin Treasury Companies

The adoption of cryptocurrencies for treasury functions has become one of the most trending topics in the financial industry. In a commentary published on August 21, Morningstar analysts noted that while Bitcoin and Ethereum are increasingly used for payments and investments, the shifts toward employing them for treasury functions introduce risks that could outweigh potential benefits. 

According to the commentary, Bitcoin treasury companies are likely exposing themselves to elevated levels of financial instability. One of the biggest drivers of this risk is the absence of clear regulatory oversight. Morningstar analysts highlighted the lack of a global regulatory framework for cryptocurrencies, with countries like the United States and Canada adopting differing approaches, while others, such as Egypt and China, impose outright bans.

This fragmented environment reportedly creates unpredictability for corporations that must manage compliance and financial stability. For treasuries, where certainty and legal clarity are vital, the analysts caution that such uncertainty may heighten credit risk and weaken confidence in long-term planning. 

Morningstar further stressed that cryptocurrency markets lack the depth of traditional asset markets, making liquidity unreliable. The analysts warn that this can cause companies to incur losses or face delays when attempting to access capital. They also note that such disruptions undermine the efficiency expected of corporate treasury management.  

Morningstar’s report also highlighted security risks for Bitcoin treasury concerns companies, noting that reliance on third-party custodians and exchanges such as Coinbase or Binance exposes them to operational failure, cyberattacks, and regulatory disputes. It added that the dual role of these exchanges as both trading platforms and custodians increases counterparty risks, weakening the stability of treasury reserves. 

Further Warnings Issued Over BTC Treasury Firms

In the commentary, Morningstar analysts further stated that volatility remains the most striking weakness of Bitcoin treasury companies. Their research underscored that Bitcoin is nearly five times more volatile than the S&P 500 in the short term, exposing companies to sudden valuation swings that can severely destabilize operations. 

Morningstar also noted that the materiality of crypto holdings is another central concern of Bitcoin treasury companies. The analysts caution that when digital assets make up a significant portion of a company’s reserves, the treasury begins to function more like a speculative portfolio than a financial safeguard. 

The report pointed out that firms like Strategy Inc., which holds over 629,000 BTC, are particularly exposed to this imbalance. With the top 20 public companies controlling 94% of total public Bitcoin treasury holdings, the sector also faces significant concentration risks. Furthermore, Morningstar warns that Bitcoin treasury companies may also be vulnerable to technical failures, exchange insolvency, liquidity crises, and weakened creditworthiness, even with insurance and security measures in place.

Featured image from Pixabay, chart from Tradingview.com

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Those numbers show how much these tokens fuel trades, loans and cross-border transfers. Yet questions about whether they really count as “money” are now front and center.

Stablecoin On-Chain Traffic

Based on reports, stablecoins have become the workhorses of crypto trading. Volume hit 35 trillion in the last 12 months. At the same time, their circulating supply stayed at 194.6 billion.

That steady supply suggests tokens like USDC and USDT are parked, ready for the next move. Traders shift them in and out of Bitcoin and altcoins. Payment platforms weave them into digital rails. The scale is hard to ignore.

IMF Deputy MD Raises Money Question

According to IMF Deputy Managing Director Bo Li, the big challenge is classification. Are stablecoins part of M0, M1 or a new category altogether? He posed those questions at the 2025 World Economic Forum in Davos.

Getting that wrong could reshape how banks set reserves and how regulators cut red tape. Li also pointed out that policy experiments are popping up all over. Some of them may not survive a real stress test.

Key Takeaways: IMF’s Bo Li said regulatory uncertainty around stablecoins persists, especially regarding classification and enforcement. Global financial bodies are working to align frameworks but… https://t.co/V75hFYV5pX #Stablecoin #Cryptocurrency #IMF #Regulation #Finance

— Entrepreneur_cm (@entrepreneur_cm) June 25, 2025

National Rules Diverge

Based on policy outlines, the US is moving ahead with the GENIUS Act. Europe has drafted its own rulebook. Over in Asia, Hong Kong plans to roll out its Stablecoin Ordinance in August 2025.

Those efforts show a strong push to make rules more clear. But they also underscore a lack of global unity.

Businesses could face one set of rules in New York, another in Brussels and a third in Hong Kong. That patchwork approach risks adding costs for firms and confusion for users.

Global Bodies Seek Cooperation

According to Bo Li’s remarks, fragmented rules carry real risks. He warned that gaps in enforcement might let bad actors slip through.

To avoid that, the IMF is teaming up with the Financial Stability Board and the Basel Committee. Their goal is to craft more consistent guidance. If they pull it off, regulators in different countries might follow a shared playbook rather than compete by cutting corners.

Market Keeps Growing

Based on market data, stablecoin supply has now topped 250 billion. A large share of that capital is parked in Bitcoin, waiting for the next rally. Some analysts spot chart patterns that echo early altcoin breakouts.

That could signal a fresh surge of trading across tokens once confidence builds. For now, stablecoins sit at the center of crypto plumbing.

Featured image from Unsplash, chart from TradingView

GameStop shares plunged over 15% on March 27, posting their sharpest single-day decline in nearly a year.

The drop comes less than a day after the company revealed a surprise move to invest in Bitcoin using proceeds from a $1.3 billion convertible bond sale. Despite initial optimism, the announcement raised fresh doubts about the future of its retail operations and long-term strategy.

The company’s stock, which had surged a day earlier amid retail trader excitement, quickly reversed course after investors digested the implications of GameStop’s latest shift in direction.

Store closures

Alongside the crypto announcement, GameStop confirmed plans to shutter a “significant number” of additional physical stores this year. The move signaled continued difficulties in its core retail business despite previous turnaround efforts to revitalize its operations.

Bret Kenwell, an investment analyst at eToro, told Reuters that investors are concerned about the firm’s lack of clarity about its long-term plans. He further stated that it’s unclear how the pivot to Bitcoin will affect the rest of its business.

The combination of crypto speculation and store closures left many investors uneasy about the company’s priorities and long-term prospects.

GameStop intends to take on debt without paying interest to bet on Bitcoin’s long-term appreciation. If successful, it could massively boost the company’s balance sheet — but if Bitcoin’s price falls, the company will have exposed itself to even greater risk.

The decision echoes a similar strategy used by Strategy, which has transformed itself into a prominent Bitcoin holding company. However, GameStop’s late entry into the digital asset space sparked further skepticism.

Questionable timing

Bitcoin prices have climbed nearly 27% since November’s US presidential election, though they remain below their record highs amid a mixed macroeconomic backdrop.

Analysts have questioned why GameStop waited until now to commit to a Bitcoin strategy. Kenwell noted that it would have made “a lot more sense” if the firm had decided to adopt Bitcoin “six to nine months ago.”

With the losses on March 27, GameStop stock is now down more than 23% for the year, deepening investor concerns about the company’s shifting identity and its ability to chart a clear path forward.

The significant fall in the share price indicates how little confidence the market has in the pivot — especially given the lack of a clear operational strategy to back it up.