Blackrock Advisor: Crypto Pricing is “Pretty Scary”

Investing, News, Opinion | July 11, 2017 By:

Global Chief Investment Strategist Richard Turnill of Blackrock Inc. said that cryptocurrency pricing is “pretty scary,” and that sharp gains may be a sign of a bubble.

Speaking at a media briefing in New York, Turnill said the monetary problems that were put in place after the 2007-2009 global financial crisis may be responsible for the irrational exuberance in cryptocurrency. However, that exuberance is confined to the sector, and there is limited risk to the broader financial system, he said.

“I look at the charts, and to me that looks pretty scary,” Turnill said of cryptocurrency price swings. His firm has been advising clients to stick with stocks, even though the gains on cryptocurrency are impressive.

“There’s no evidence that if that price went to zero tomorrow that there’d be any broader financial implication over time, but to me it is example of where you’re getting some big price movements in the market,” he said.