According to DoubleLine CEO Jeffrey Gundlach, Bitcoin is a common speculative instrument.
It is used by a certain group of investors who siphon money out of most traders. In this regard, we see a lot of similarities with a regular casino, the billionaire said in an interview with Yahoo Finance.
Gundlach stressed that speculation with digital currencies will continue. Some players benefit from the availability of such tools, while other people, due to their inexperience, simply lose money when they decide to buy bitcoin or another virtual coin.
The crypto market resembles a casino in many ways, and therein lies the danger of investing in digital assets. Initially, the billionaire was positive about Bitcoin.
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However, after the value of BTC began to grow at an aggressive pace last year, the opinion of the financier changed. He has become more skeptical about cryptocurrency.
Its downfall may occur at any moment. A similar situation was observed in 1999 when the so-called dot-com bubble formed, the billionaire added.
A similar point of view was previously expressed by the Russian economist Vadim Kovrigin. He noted that bitcoin does not have any collateral and is growing in price only due to increased demand. The analyst also admitted the fall in the value of the cryptocurrency to zero.