Is Bitcoin on track to hit $100,000 by the end of the year?
Bitcoin,I believe, may well hit record highs of $100,000 by the end of this year due to five key issues fuelling momentum.
At the end of last week Bitcoin rose close to 10.8% to hit $47,800 on Saturday. I said last month that we can fully expect the world’s largest cryptocurrency to hit, or perhaps even exceed, its mid-April record high of $65,000 by the end of this year. Yet now I think if the current price momentum carries on, we may see Bitcoin hit the $100,000 mark.
To my mind, there are five main factors that are behind the price surge.
First is the U.S. Federal Reserve saying it has no intention of banning cryptocurrencies. It’s highly probable that other cryptocurrencies will have more stringent regulatory oversight, yet Bitcoin could be viewed differently by authorities partly due to its gold-like status.
Second is the ongoing, mounting interest from institutional investors including Wall Street giants and major payments companies, who bring their capital, expertise and reputational influence to the market.
Third, is the rising number of crypto advocates and mega influences like Elon Musk, Jack Dorsey and Cathie Wood who have a clear message: crypto is the inevitable future of money.”
Fourth, the technicals back the prediction. Looking at Bitcoin halving events, over time we’ve seen that values rise substantially in the year after a halving. After the 2012 and 2016 Bitcoin halvings, prices increased by 55 times and 15 times respectively, indicating a move towards $100,000 could be looming following last year’s event.
And fifth, cryptocurrencies – Bitcoin in particular – have changed the way the world handles money, does business, makes transactions and manages assets. Investors appreciate the intrinsic value of digital, borderless, global currencies for trade and commerce purposes in increasingly digitalised economies in which businesses operate in more than one jurisdiction.
This will only increase as mass global adoption increases. Only last month El Salvador became the first country in the world to adopt Bitcoin as legal tender, and I’m certain many others will follow suit.
In addition, Bitcoin’s momentum will impact other major digital assets, such as Ethereum and Cardano, putting them on more of a substantial upward trajectory.
After its recent mini price dip, Bitcoin came back with a bang, and there’s very little reason to think it won’t continue this uptick and surpass past record highs.