Jurrien Timmer, Fidelity Investments’ director of global macro, appeared today to talk about his models for bitcoin prices, the market outlook and his opinion on the current rally. Timmer shared a bearish prediction about Bitcoin, bullish inclinations toward the dollar as the global reserve currency, and a deep misunderstood of the relationship between Bitcoins and gold.

Timmer stated that the Bitcoin rally of over 30% this month was not driven by momentum traders. Instead, it is being driven organic spot demand and can be extended. According to Timmer, bitcoin could reach $100,000 by 2023.

Timmer stated that ‘this has not been a momentum driven run by short-term investors, so it gives me some confidence that it is actually a fairly sustainable move and not a bubble about to burst’ CNBC. “The trajectory is up, and there is no evidence that this is a group of momentum chasers raising this up to $57,000.

Timmer answered a question about Bitcoin’s relationship to gold. Fidelity’s director acknowledged the superiority and value of Bitcoin, but failed to recognize that it would naturally outperform the less valuable store of value that gold.

“Bitcoin can be described as a more convex form of gold. It is in ever-sharper supply, and bitcoin has a more dynamic network than gold. Therefore, it is natural that bitcoin would outperform the gold. Timmer said that bitcoin and gold are two distinct players in the same team.

Perhaps Timmer’s shortsightedness on the dollar-bitcoin dynamics is more evident.

He said that he didn’t believe bitcoin threatened the dollar or its reserve status. “Maybe it further secures the dollar’s reserve status…and it’s still likely to be connected with the dollar in some manner.”

“Bitcoin’s value proposition means that it eventually goes from being just a store value to being a medium for exchange and that depends upon second layer [developments] being built right now,” the Fidelity director said.

The second layer of Bitcoin is in development and is widely used. Lightning and Bitcoin will be the new currency and replace gold in the next decade. It is natural that many experts, blinded to the asymmetrical benefits they receive from the status-quo will not realize this until the very end.

Fidelity Director: $100,000 BTC By 2023, Fails To See Bitcoin Power