A fairly common (if not conservative) prediction among the cryptocurrency community is that the price of bitcoinwill reach $ 100,000 to $ 200,000 over the next 12 months.
Right now, the most popular and controversial topic is still about the price of Bitcoin and speculation about its future value.
Currently, Bitcoin is witnessing an upward market, and its price has increased by more than 200% since the beginning of this year, and with the exception of a few stocks such as Tesla, it has performed better than other markets in the world. But the current uptrend seems to be different from the uptrend of late 2017. The first is that the price has exceeded its highest historical level, and the second is that investment institutions are accumulating, while the general public has not yet entered the currency market.
Predictions of the six-digit bitcoin price in this uptrend are increasingly repeated, and the main reason is the excessive printing of money by the central bank.
In fact, billionaire investors like Ray Dalio are proposing the idea of bitcoin alongside gold as a way to diversify against "devaluation."
He warned at the Reddit meeting on December 8 that we were in a flood of money and credit, which would lead to a further increase in asset prices and distribute wealth in a way that we believe a normal system could do. This is not the case and this threatens the value of our money and credit:
Most likely, the flood will not subside, so the price of these assets will not decrease compared to the devaluation of the currency. Diversification is very important in terms of currency and countries as well as asset classes.
According to reports released in May, Morgan Creek CEO Mark Yusko said the price of bitcoin is likely to exceed $ 100,000 next year. Currently, the price of this currency has more than doubled, but in the next 12 months it should increase by almost 300% to reach 6 digits.
This price estimate is similar to the prediction of the accumulation-to-flow (S2F), that Bitcoin is still on the way to becoming six digits. He reiterated last month that the price of Bitcoin would reach $ 100,000 by December 2021 due to "supply shortages".
According to other analysts, the $ 200,000 price forecast is even more possible. Well-known analyst Willie Wu says that in this upward trend we are witnessing "hoodling (or accumulation)" as well as a decrease in bitcoin inventory in exchange offices due to lack of supply.
Bitcoin inventory in exchange offices
According to Wu, this would be a double blow to the downtrend:
My top model predicts the price will reach $ 200,000 by the end of 2021, and it seems reasonable. Of course, there is a possibility that the price will reach the level of $ 300,000.
He continued in another post that my opinion about 2021 has not been so upward. This stage of re-accumulation coincides with the absorption of market inventory and is about twice as long and deeper than the previous cycle. This will lead to further price increases.
The prediction that prices will reach higher levels stems from the argument that bitcoin could challenge gold and eventually replace it. Interestingly, some of the most bullish forecasts have been made by the traditional financial sector, as bitcoin reached its new high in early December and outperformed gold by 2020.
For example, a Citibank analyst said in a note to customers in November that the price of bitcoin is likely to reach $ 318,000 by 2021. Tom Fitzpatrick, CEO of Citibank, noted that the historic and unimaginable uptrend in Bitcoin occurred after sharp price corrections.
Currently, Citibank CEO believes that Bitcoin is in the middle of an upward trend. There seems to be a well-defined channel that will push the price to $ 318,000 by December 2021.
Meanwhile, JP Morgan points to the growing popularity of bitcoin among traditional investors. In fact, the investment giant predicts much greater upside potential for Bitcoin as digital gold.
Currently, the bitcoin market value is less than 4% of the gold market value. This huge bullish potential has also prompted other prominent investors to predict that Bitcoin will eventually challenge gold, with the market value exceeding the $ 9 trillion market value of gold.
Morgan Creek's Anthony Pompliano predicts that the price of bitcoin will reach around $ 100,000 in 2021. He predicted in the summer that if Bitcoin continued on its path to gold, the currency would reach $ 400,000 in the long run. Meanwhile, Tyler and Cameron Winklows believe that bitcoin gold will be better than gold; This means that the price is likely to rise to the level of $ 500,000. They also expect the price of this market-leading currency to continue to rise in the coming years.
According to Cameron, the purchase of significant amounts of bitcoin by microstrategy and other investment companies is just the beginning of a big
