The world of cryptocurrencies is known to me since 2013 and I still get continuously amazed by it. I've recently read a very interesting article where Changpeng Zhao, the founder and CEO of Binance, the world's largest cryptocurrency exchange, said in an interview with Bloomberg that people still don't realize how much the price of bitcoin could explode in the not too distant future.
Recently, after Elon Musk - Tesla CEO, invested $ 1,500,000,000 in Bitcoin, we saw a significant price jump from around $43k to today's level which is around $56k at the time of writing this article.
Elon's move had a significant impact on the entire business space and every day number of corporations, enterprises, and financial institutions that are seriously considering getting involved in the "Internet Gold" is continuously growing because of FOMO.
Mr. Zhao said that if most of them would decide to follow Elon's steps and they would diversify only a small part, such as 1 %, of their capital by investing in Bitcoin, then its price from the current level could skyrocket from 1900% to even 19,000%.
It means that the price of one bitcoin could be something between
$1,000,000 and $10,000,000.
If those corporations would decide to invest more than 1% of their capital in bitcoin then its price would be proportionally higher.
Another strong factor that indicates that cryptocurrencies will significantly rise in their prices is the fact that payment processing companies such as Visa, MasterCard and Paypal are planning to incorporate crypto payments in their services this year, which will naturally lead to much greater awareness about cryptos and will cause their mass adoption as the way of paying for goods and services. And of course, it will force their price to go up.
Mr. Zhao also confirms that the interest in cryptocurrencies is growing day by day and this is evident in the number of new users who register for Binance.
In 2017, when there was a bitcoin price boom, his company was registering 300,000 new users a day and it lasted for a few days and then gradually slowed down.
Now, in the era of pandemic, massive inflation, and the widening crisis that inevitably looms over the economies of the world, the daily number of new users registering significantly exceeds the level from 2017 and this state has been maintained for the past three months and it is constantly growing.
It means that day by day more and more people around the world are trying to protect their financial future by investing part of their money in cryptocurrencies. And it leads me to the assumption that whatever the final price of Bitcoin is going to be, it is going to be much, much higher than the current one.
The only way to stop it would be to switch the internet off. But I believe that big banksters wouldn't do it, as then their CBDC that they are about to introduce to the world soon wouldn't work either.