• Crypto investor Chris Burniske, partner at venture capital firm Placeholder and former analyst at ARK Invest, calls the recent downward price action in Solana (SOL) and Cosmos (ATOM) a “blip” and predicts a “redemption arc” for crypto assets next year.
• Last week’s SEC lawsuit against exchanges Coinbase and Binance preceded the altcoin market drop, with both SOL and ATOM down over 80%.
• Burniske previously said that Solana was the next “Ethereum-level” opportunity in crypto.
Chris Burniske: Recent Price Action is a Blip
Crypto investor Chris Burniske, partner at venture capital firm Placeholder and former analyst at ARK Invest, says that the recent downward price action in Solana (SOL) and Cosmos (ATOM) means very little in the grand scheme of things. Last week, the U.S. Securities and Exchange Commission (SEC) listed several assets as securities in its charges against crypto exchanges Coinbase and Binance, including SOL. The lawsuit preceded a sizeable drop in the altcoin markets, with both Solana and Cosmos now down over 80% from their all-time highs. However, Burniske is not fazed by these events; he believes that they will merely be blips when looked at retrospectively. He also predicted a “redemption arc” for crypto assets next year.
Burniske’s Previous Predictions
Prior to this latest event, Burniske had already said that Solana was an undervalued ecosystem with Ethereum-level potential. He had spoken about how his investment firm was building an aircraft carrier strategy around both Cosmos and Solana – investing heavily into both ecosystems while also venturing into related projects such as decentralized exchanges or asset management solutions to pick out the best teams associated with each ecosystem.
The SEC Lawsuit
The SEC recently filed a lawsuit against Coinbase and Binance which listed several assets as securities – one of them being SOL tokens from the Solana ecosystem. This caused considerable drops across all altcoins on top of an already bearish market sentiment which has seen most tokens sink to their lowest levels since late last year/early this year. Despite this downturn however, Burniske still stands by his previous statements regarding Solana – believing it to be an undervalued opportunity despite current obstacles it faces due to regulatory pressures from authorities such as the SEC.
Long Term Prospects for Altcoins
Burniske believes that although there may be some short term pain caused by unfavorable regulation or other externalities ,in the long run these issues will pale in comparison when compared to what he called “the widespread recognition of this movement [cryptocurrency] is immortal”. As such he expects that come 2024 there might be some sort of redemption arc for cryptocurrency prices as investors take advantage of any opportunities created by favorable regulations or other developments within the space during this time period .
In conclusion , despite current macroeconomic pressures affecting cryptocurrency markets , Chris Burniske remains confident about its future prospects — particularly those of specific token like solano — stating that any short term losses incurred due to unfavorable regulation will pale compared to what he sees as recognition coming soon after 2024 .