It is no longer news that several crypto experts and enthusiasts believe Bitcoin will hit its all-time high of $100,000.
Bitcoin can snare market share from gold over time as a “byproduct” of increased usage, as well as the prospect of “Bitcoin-specific scaling solutions,” according to Goldman Sachs’ co-head of foreign currency strategy Zach Pandl.
“If Bitcoin’s share of the store of value’ market rose to 50% over the next five years (with no growth in overall demand for stores of value), its price would rise to just over $100,000, for a compound annualized return of 17-18% (accounting for growth in Bitcoin supply over time),” Pandl wrote in the note.
Using a gold price of $1,800 per troy ounce, Goldman estimates that the public owns around $2.6 trillion in gold for investment purposes. Pandl noted that Bitcoin’s float-adjusted market capitalization is presently slightly around $700 billion, implying that Bitcoin has roughly a 20% share of the “store of value” (gold and Bitcoin) market.
Bitcoin price predictions on the rise in 2022
In 2022, the world embraced cryptocurrency with a slew of price predictions from crypto experts and enthusiasts.. El Salvador’s president made six bitcoin forecasts on January 2nd.
President Nayib Bukele has released a slew of bitcoin forecasts for 2022, including one that predicts the price of bitcoin would more than quadruple to $100,000.
Bitcoin will “hit $100,000” in 2022, according to a tweet from President Trump.
El Salvador’s desire to embrace bitcoin as one of its official currencies alongside the US dollar was initially announced last year, and he teased a “big surprise” during this year’s Miami Bitcoin Conference in April. However, Bukele’s bitcoin price forecast pales in contrast to others.
In November, the bitcoin price reached a high of slightly over $69,000 per bitcoin before plummeting to around $50,000. Following the latest China crypto crackdown and Tesla TSLA -4.2 percent billionaire Elon Musk appearing to be sour on bitcoin—and embracing the meme-based dogecoin as his pet project—the bitcoin price plummeted as low as $30,000 this summer.
Many projected that bitcoin would reach $100,000 by the start of 2022, but bitcoin, ethereum, Binance’s BNB, solana, cardano, and XRP have all suffered as the year has progressed. As anxieties grow about surging inflation and the Federal Reserve’s 2022 prognosis, the overall bitcoin and crypto market value has lost roughly $800 billion since November, sliding from a record of around $3 trillion.
Thomas Peterffy, a Wall Street billionaire who previously warned that bitcoin futures could “destabilize the real economy,” has advised investors to buy a small amount of cryptocurrency such as bitcoin or ethereum in case the dollar “goes to hell,” predicting that the bitcoin price could eventually reach $1 million.
“I think [bitcoin] can go to zero and I think it can go to a million dollars,” Peterffy, the Hungarian-born billionaire and founder of trading platform Interactive Brokers, told Bloomberg. “I have no idea.”
With so many positive Bitcoin price forecasts, it’s up to you, the investor, to determine whether or not to acquire Bitcoin right now.