Bitcoin’s (BTC-USD) volatility has been dealing a heavy blow to crypto markets. Miller Value Partners Portfolio Manager Bill Miller IV joins Yahoo Finance Live to shed more light on bitcoin’s trading resiliency despite various crypto headwinds.
“Bitcoin is very different from crypto, crypto was convicted yesterday,” Miller states, referencing former FTX CEO Sam Bankman-Fried’s fraud conviction. “Bitcoin is going very very strong, the network is as strong as it’s ever been.”
Miller anticipates positive long-term trends for bitcoin despite its recent volatility, citing it’s appeal as an “uncensorable” asset.
Click here to watch the full interview on the Yahoo Finance YouTube page or you can watch this full episode of Yahoo Finance Live here.
Video Transcript
AKIKO FUJITA: Volatility in the cryptocurrency is putting a dent in the exchanges that hold it. Coinbase saw trading volumes sink in its third quarter amid volatile trading sessions for the cryptocurrency. Meanwhile, MicroStrategy had to write down more than $33 million in its most recent quarter, thanks to the falling coin price since its November 2021 peak.
Our next guest has remained a Bitcoin bull despite the fluctuating price and scandals in the crypto sector, like Sam Bankman-Fried’s recent fraud conviction. Let’s bring in Bill Miller IV, Miller Value Partners Portfolio Manager.
Bill, good to talk to you today. Let me get your reaction, first of all, to the verdict that was handed down. What this, ultimately, means for crypto as a whole?
BILL MILLER: Well, I think it’s really important that we differentiate between Bitcoin and crypto. So crypto was convicted yesterday on seven counts of fraud. Lying to people about what you’re doing with their money is wrong.
The beauty of Bitcoin is that’s not an issue. There is a very clear digital ledger maintained by computers and a very clear protocol out there that’s visible for everyone to see. Bitcoin is very different from crypto.
So crypto was convicted yesterday. Bitcoin is still going very, very strong. The networks are strong as it’s ever been. There’s more users than there’s ever been. So we continue to see very positive trends in Bitcoin, not so much in crypto.
BRAD SMITH: What is the most positive trend? And do you believe that it’s largely– especially with some of the price action that we’ve seen recently that seems to have been driven, not so much by what’s taking place in trials, but more so by some of the ETFs that could be set for approval?
BILL MILLER: Yeah. I think the big picture trend is that Bitcoin is the best performing asset in nine of the past 12 years. It’s been up three out of four years. People tend to focus on the very short-term fluctuations and the volatility. But the reality is, there’s a real demand globally for an uncensorable asset, where the regulators can’t change the rules and the measuring stick over time.
So I think another thing that’s driven Bitcoin’s appreciation recently is the massive debts we’re racking up in the US. Deficits are going up. Debts are going up. And someone’s going to have to pay for that. Ultimately, it’s going to come from money printing.
