Meta’s (formerly Facebook) Lead Product Manager, Dare Obasanjo, has blamed institutional investors for the overvaluation of cryptocurrency, bitcoin, stating that there was no bigger fool in the crypto market.
A bigger fool or greater fool is someone that pays a higher price to purchase an overvalued asset acquired by an investor, who hopes to resell and profit highly from the asset – at an inflated cost against initial purchase price – before it crashes.
Obasanjo’s statement on Saturday comes at a period when retail and institutional holders of bitcoin suffered a loss of N33.79 trillion in four days, as sell off continued to prevent the growth of BTC value due to expectation of a price decline.
And since bitcoin hit an overvaluation of $68,990.90 (All-Time High) it has been depreciating in value, as prospective investors were not willing to pay a higher price for BTC because of bearish sentiment (negative growth) surrounding the coin.
This means there was a shortage or declining in number of investors willing to buy the overvalued bitcoin, reflecting Obasanjo’s statement that there wasn’t a greater fool, while responding to reports that global tech institutional investor, Tiger Global Management, would no longer focus on backing large, late-stage startups preparing to go public.