Cryptocurrencies are back on the bull following a few key comments from wealth manager Paul Tudor Jones. On the cash markets, Bitcoin BTC (+13%), Ethereum ETH (+9%), and Ripple XRP (+6%) are all firmly in the green over the past 24-hours. Leading altcoins Tron (+7%) and Polkadot (+13%) have followed suit posting solid rallies.
“I like Bitcoin as a portfolio diversifier. Everybody asks me what should I do with my BTC? The only thing I know for certain is that I want 5% in gold, 5% in Bitcoin, 5% in cash, and 5% in commodities. At this point in time, I don’t know what I want to do with the other 80% until I see what the Fed is going to do.”
“Over time it’s [Bitcoin] a great diversifier. Again, I look at Bitcoin as a story of wealth.”
Given in a CNBC interview, these quotes are very instructive about how big-time fund managers view BTC and cryptos. Since 1980, Paul Tudor Jones has managed the Tudor Group, which currently presides over $21 billion in investments. His endorsement of BTC highlights the shifting attitude of mainstream finance toward BTC.
When a prominent figure such as Tudor Jones gives Bitcoin and cryptos a thumbs up, the markets listen. As of now, bidders are piling into cryptos, driving BTC to a test of $40,000 and Ethereum above $2,500.
Ethereum Rallies Following CNBC Tudor Jones Interview
If the positive crypto sentiment lasts, Ethereum will close in the green for the third straight session. However, prices remain in bearish territory on the daily timeframe.
Overview: For a good look at where ETH stands, toggle the dynamic chart above to the daily timeframe. There you’ll see the massive late-May selloff and subsequent retracement. The key level in this market is the 38% Fibonacci retracement of the plunge ― $2742.25. As long as prices remain below this level, a bearish bias is warranted.