The chief investment strategist for BlackRock, the world's largest asset manager, said in a new interview that he doesn't know where to peg the "fair" price of bitcoin.
Speaking with Business Insider, Richard Turnill said that cryptocurrencies have experienced "spectacular price increases" in recent months, leading him to conclude: "I would say that cryptocurrencies show many characteristics of a bubble right now."
His remarks echo those of other Wall Street-based analysts and investors, including Ray Dalio, who leads the world's largest hedge fund, that have argued that the cryptocurrency market is in bubble territory.
And while BlackRock's own chief executive offered cautiously optimistic remarks earlier this month on the subject, Turnill argued that, in his view, there's no way to assess a "fair value" for bitcoin or other cryptocurrencies.
He told the publication:
"The main argument for buying them is that prices have risen and are therefore going to continue to rise over time. But there's no inherent right or wrong price for bitcoin. You could say, "What's the fair value?" You know: "I'm an investor; I like to think about the fair value of stocks of bonds." I can't answer what's the fair value for bitcoin or any cryptocurrency. For that reason, I'm not an owner."
This is not the first time Turnill has expressed concern with cryptocurrencies. In July, he referred to the cryptocurrency market as "scary" based on then-recent market moves.
Despite his concerns about cryptocurrencies, Turnill praised blockchain technology in general, saying the tool will likely be increasingly used. BlackRock has already begun "starting to use blockchain," according to BI.
Image via YouTube / Bloomberg TV