Lance Ippolito, Head Trader at Future of Wealth, joins Cheddar News' Closing Bell, where he says the President's executive order on crypto is a step in the right direction even though investor sentiment cooled off on Thursday.

Closing Bell

Crypto Rally Cools Off One Day After President Biden's Executive Order

the Cryptocurrency World is still digesting the President's executive order that he signed yesterday. It calls on lawmakers and agencies to examine the benefits and risks of digital assets. While there's plenty of enthusiasm from investors today, the prices of Bitcoin ether and several other major tokens plummeting once again, today joining us now is Lance, Ipolito Lance's head trader at the future of wealthy platform helping investors navigate the financial markets. Okay, so thank you for being here. So, so to me, this just kind of seems like, uh, an announcement to give people a reason to go make it. Like it doesn't seem like this is a lot right. This is an executive order from the president that basically goes tells lawmakers gives them a window of 100 and 80 days to come back with a report. But I guess on the one hand, you also argue like, well I guess this is the White House taking the issue of Cryptocurrency a bit more seriously. How do you read what happened yesterday? Yeah, so before this, it's, you know, still kind of the Wild Wild West and I believe Janet Yellen came out actually and uh, I was pretty pleased with it and that's why we saw, if you look at Bitcoin, if you look at the teeth, I think that's what the cool kids call it nowadays for either, um, uh, and some of the other major coins out there, they had a fantastic move. Um, and then today it is just completely erased. It feels like trading tech stocks in the Cryptocurrency market with all the volatility. But me personally, I do think going forward, this is probably a foot in the right direction, you know, um, there was so much fear that they were like gonna ban cryptocurrencies and crack down and we really didn't have any of that. You know, it looks to be that finally they're starting to recognize, hey, these cryptocurrencies are here to stay, you know? Well, some of the all coins and some of the more speculative names probably fade away. Yes, but you know, there is a real need and they are the future of payments going forward. Thank you for the reminder on keith. I don't wanna, I don't want to feel like a not cool kid. Bye bye. I want to stick with the tiktok lingo. You know, when you're buying your, your board apes and your and your punks, you need to fit in with the crowd, right? Yeah. When you're buying, Oh yeah, all the board apes that I own. Okay. So, um, any other sense here. Okay, so, so take a step back here and help me. It's OK. It's, it's thursday, March 10th. The crypto world has been wildly volatile every time I've checked the prices of Btc and these things, they've just been more bad days, it seems than good days, aside from the biggest reason we could have a big fall today. What is your bigger sense about the moment, let's take a step back and look at this big picture, what has happened this year, even before yesterday's executive order. Well, you know, if you really think about this year, so what Bitcoin was around 45, or so in the beginning of the year, You know, it's actually held up a lot better than, let's say a lot of growth stocks or, or you know, a lot of people like to call the Cathie Wood's ark names out there that are down 30 40 50-plus%, some of these names this year. So it's actually holding, I would say decently, well obviously we're down about 30,000 from that peak in November of last year. But um I think this kind of compression that we're seeing, you know, trading volumes are contracting and I'm interested in what the uh Robin Hood gentlemen later is going to say because you know, Robin Hood, big component of a couple quarters ago on their Cryptocurrency trading. Um but I do think it's healthy. You know, we've kind of gotten a euphoria stage where people are just throwing darts at cryptocurrencies hoping that he'd go up 56, 10 x and value. But I think from an institutional side, more institutions are embracing uh cryptocurrencies, I do think it's healthy, especially one thing you have to realize is The NASDAQ is in a bear market were down about 20% from the highs if we have a balance in tech stocks. Well, let's just say, you know, let's say we get through all this volatility and all this Russia, Ukraine news and, and inflation cools down a little bit. I do think you're going to see a huge move in Bitcoin. You know, the hard part is when is that, you know, when are we gonna go? 50 grand, 60 grand plus, Is it going to be in the next 3 to 6 months is going to be a year from now? I think that's the hard question and that's really the trillion dollar question I guess. Sure Lance, while the world does watch the continuing war and the horrific images out of Ukraine, what what link would you most want the average investor to keep in mind as it pertains to the relationship of Russia and, and Cryptocurrency. Um, you know, I think you're having people really panic and that's why we've seen a move in gold and silver recently over the past, I would say a week or two. Um, I do think this has brought light into the whole um, financial system. You know, people trying to take money out because if you look at the Russian currency, just how they valued, it's been. I do think it's kind of a wake up call and I do. Uh, I think, you know, people are getting more serious about owning cryptocurrencies, but you have to use proper risk management. You can't say, hey, I'm gonna buy these Kryptos as a get rich quick scheme. That's the complete wrong direction and that's what we probably saw, you know, 12 to 16 months ago with a lot of these, you know, cheaper coins, not, not Bitcoin specifically. So keep in mind that, yes, there's volatility. I do think you treat it like a, like a tech stock or like an I. P. O. Stock, like could you get some reward um, in the long run? I do think so. Are you going to have the very large drawdowns? Yes. So you have to be able to stomach that. So just, you know, know your risk tolerance. I think that is so, so key in any kind of trading or investing risk tolerance. So important for investors, especially first time investors to keep in mind. Lancet Toledo is head trader at the future of wealth, join us there from beautiful Tampa bay florida. Lance, great to have you