Another alleged bitcoin expert is striking the industry with his lavish predictions for the currency’s price. Antoni Trenchev – the head of BTC lending platform Nexo.io – says that 2020 will be the year in which bitcoin hits approximately $50,000.
Antoni Trenchev: BTC Is Quite the Asset
Everyone has rushed forward with their bitcoin predictions, including convicted drug runner Ross Ulbricht, Ethereum co-founder Charles Hoskinson and venture capitalist Tim Draper, and by comparison, the prediction from Trenchev – to be perfectly fair – seems rather bleak and small.
All three of the previously mentioned individuals have stated that the world’s leading cryptocurrency by market cap will allegedly strike the six-figure range this year, with Draper going so far as to state that BTC could even reach $250,000.
At the same time, one wonders if bitcoin – presently trading at just over $7,000 per unit – really has the power to spike that much over the course of 12 months. Yes, 2020 has a lot going for bitcoin in the sense that it’s an election year and the long-awaited halving is scheduled to occur this May.
That said, we’re talking about meteoric rises of $93,000 or more. In 2017, when bitcoin was at its highest point, the currency only spiked from about $1,000 to just shy of $20,000 in December of that year. This amounts to jumps of less than $2,000 per month. For all these other predictions to come true, bitcoin would have to spike by nearly $8,000 per month, so are their words accurate?
Thus, Trenchev seems a little more grounded in his statement, and let’s just say it – $50,000, at the end of the day, isn’t so bad. That’s tens of thousands more than average Americans have in their savings accounts according to a report issued by CNBC, so it’s hard to find reason to complain.
In an interview in Berlin, Trenchev refers to bitcoin positively, calling it an “incredible” asset and noting its resiliency. He states:
It’s been an incredible asset uncorrelated to the overall market. It delivers systematic asymmetric returns and the only thing we have seen close to anything like this has been the rise of the U.S. dollar against the German [paper mark] in the 1920s.
Sadly, not everyone agrees that bitcoin is the next best thing, with figures like Tendayi Kapfidze – a chief economist at Lending Tree – recently claiming that bitcoin resembles a “pyramid” scam, and that it’s a solution to a non-existent problem.
Can’t Please Everyone
2020 has barely begun, and things have started out roughly for bitcoin. After beginning the year over the $7,000 mark, the currency fell to $6,900 then spiked to $7,300 following a drone strike that killed one of Iran’s leading generals.