With bitcoin and so many other mainstream cryptocurrencies hitting new all-time highs, many analysts and industry experts believe that the world’s number one digital currency is going to hit $100,000 much sooner than originally anticipated.
Bitcoin Is Exploding in the Eyes of Many Analysts
The volatility the currency has been experiencing as of late is nothing new, they say. Recently, after hitting $68,000 per unit, the asset began a series of slight falls that at press time, has taken it down to the $57,000 mark. However, several analysts say that this is not something to worry about, and the bull run is still going strong in several ways.
Kate Waltman – a New York-based public accountant specializing in crypto – is very positive about the future of bitcoin. She says:
The most knowledgeable educators in the space are predicting $100,000 bitcoin in quarter one of 2022 or sooner.
Others, however, are a little more hesitant to say for sure if or when bitcoin hitting six-figure territory will happen. For example, Kiana Danial – author and founder of Invest Diva – explained in an interview:
What I expect from bitcoin is volatility [in the] short-term and growth [in the] long-term.
There are many analysts out there that believe bitcoin’s value is likely to grow with time given that it is set to become scarcer. Bitcoin is a finite currency, with only 21 million units in existence. As more than 18 million have been put into circulation, there remain less than three million to mine. As bitcoin gets rarer, the currency is likely to see its value grow.
Alexis Johnson – president of Light Node Media – states:
There’s a fixed supply but increasing demand.
Co-founder of the media firm Nelson Merchan threw his two cents in and appeared to agree, saying:
That’s really why everybody’s buying because of the psychological aspect. It does almost kind of seem like a scam. I’m a big believer that if it’s not in cash, you don’t really have that money because in crypto, anything can drop dramatically overnight.
Waltman further added:
Crypto technology is being adopted at a faster rate than humans first adopted internet technology.
According to data from digital asset management firm Coin Shares, crypto adoption has been rising at the annual rate of 113 percent. This is huge considering the internet was adopted at a much slower rate (roughly 63 percent). Coin Shares estimates that if present rates continue, there will be approximately one billion bitcoin and crypto users by the year 2024 and roughly four billion by the year 2030.
Will Regulation Be a Problem?
Of course, one of the big worries still permeating the crypto space as of late is regulation, which is still not set in stone. Ben Cruikshank – head of Flourish – explained in a statement:
[Regulation has] kind of evolved over the last five years. Regulators can always change their mind.