Anyone who predicted a year ago that the price of Bitcoin would be below $20,000 in October 2022, many Bitcoin bulls would have been shocked and mocked. Back then, BTC/USD was just starting to reach a new high during the second phase of the bull market. The new record of $69,000 was finally reached in November.
Bitcoin price up 5,000 percent?
Many new investors jumped on the bitcoin bandwagon late in the rally. Due to the strong price explosion, the typical FOMO re-entered in 2021, the fear of missing something. However, anyone who just decided to buy Bitcoin for $30,000, $40,000, $50,000 or $60,000 or even who bought the top is more or less at a high loss. At the peak, the price of Bitcoin went down by about 75 percent. But will the investment pay off in the long term?
Cathie Wood, CEO and fund manager of ETF provider Ark, is absolutely convinced of this. Earlier this year, she put forward the thesis that the price of Bitcoin will reach the incredible mark of 1 million US dollars per token by 2030. However, she made this statement when the prices were still much higher. Even Wood probably had no idea at the time that BTC//USD would fall below the 2018 all-time high shortly after and fall to around $17,500.
Yassine Elmandjra of Ark Investment Management is standing by his firm’s prediction that the price of Bitcoin will surpass the million dollar mark by 2030, despite this year’s massive selloff in the digital currency https://t.co/8o84lEJ9df
— Bloomberg Crypto (@crypto) October 15, 2022
Under these signs, one might think that Wood has now said goodbye to his extremely bullish price target for Bitcoin and would now create a new price forecast for 2030. But far from it: Now Ark analyst Yassine Elmandjra emphasized that this bullish price target still has one. If the assessment were true, buying Bitcoin today could lead to huge returns in the next eight years or so. Given a current price of around $19,000 to the $1 million mark, this would mean a clear jump in price of more than 5,000 percent.
Bitcoin Investment: Make a million dollars from $20,000
With an investment of just $20,000, investors could become millionaires within the next few years without having to use any high-risk, high-leverage trading sites on the crypto exchange. The simple “buy and hold” investment strategy would increase the assets significantly by the year 2030 without further delay. Even with smaller investments, a few dollars 100,000 could be earned quickly through Bitcoin.
The history of the cryptocurrency has impressively proven that Bitcoin is capable of such price jumps of thousands of percent. For example, in November 2011 the BTC/USD rate was still at 2 dollars. In the next bull market, the price exploded almost 60,000 percent to almost $1,150 by 2013. In the following cycle from 2015 to 2017, the growth was still about 10,000 percent from about $200 to just under $20,000. From the low point in 2018 at about $3,000 to the top of $69,000 in 2021, the increase is still about 1,900 percent.
Even if the price increases have become smaller and smaller in the last market stages, it seems possible to grow 5,000 percent within eight years.
Bitcoin Analyst Plan B: Will Bitcoin hit the million mark by 2025?
However, Ark analysts are not the only ones who are still very bullish on Bitcoin’s long-term price forecast despite the large bearish market and negative signs such as strong inflation and high interest rate hikes.
For example, the well-known analyst and trader Plan B is still very bullish. He caused a stir in the crypto market with his stock-to-flow model for the Bitcoin price after BTC/USD reached prices above $100,000 in 2021. Ultimately, however, Bitcoin and his model underperformed. Still, Plan B continues to firmly believe in six-figure BTC prices and beyond.
My guide for the next 3 years. The half of 2024 is coming and the increased scarcity (S2F ratio) will pump the price of BTC… just like 2012, 2016, 2020. pic.twitter.com/HoHlCP3oTZ
— PlanB (@100trillionUSD) October 6, 2022
Recently he pointed out that the price will rise very sharply due to the increased scarcity in the next bitcoin spread. In its updated stock chart published for this purpose, prices in the range of up to one million US dollars are already predicted for 2025.
Bitcoin conservative forecast at $100,000
Many other analysts dare to set precise price targets for the course of Bitcoin for the coming years. For example, Bloomberg commodity strategist Mike McGlone said that the price of BTC is certain to reach $100,000. However, this forecast is still very conservative compared to previous estimates. McGlone also did not give an exact time when Bitcoin will reach this price level. Financial website cryptonewz believes that the $100,000 mark by 2030 is realistic.
The economic blog Changelly says that the price of Bitcoin could reach a new all-time high of a good $72,000 in 2025. If you follow the history of BTC, this would happen in the next cycle after the semi in 2024. The analysts then expect a price target of more than $100,000 for 2026. According to this estimate, Bitcoin could even reach the $500,000 mark by 2030. This forecast is still much less than the expectations of Ark analysts.
Michael Saylor: Bitcoin at $500,000
Well-known crypto investor and former MicroStrategy CEO Michael Saylor is also unscathed from his bullish stance on Bitcoin. In an interview with Market Watch, he said that BTC has bottomed out and will reach $60,000 levels again in the next 4 years. By 2030, Saylor even considers prices of $500,000 to be realistic.
Whether there is some purposeful optimism in this bullish assessment remains to be seen. After all, Saylor invested billions of dollars in Bitcoin with his company at the time. However, with an average purchase price of around $30,000, the BTC bull is currently in significant losses on his investments.
The answer is correct #Bitcoin.
— Michael Saylor⚡️ (@saylor) October 17, 2022
Bitcoin is suffering from dollar strength at a 20-year high
The crypto asset manager CoinShares is much more cautious – at least in the near future on the price of Bitcoin. The company does not expect BTC to be able to provide any significant stimulus in 2022 and start an upward trend. One of the main reasons for this is the current strength of the US dollar. Although the dollar is currently overvalued from its perspective, the rally could continue until the end of the year according to an analysis of the US dollar index (DXY).
In fact, the chart analysis shows that cryptocurrencies, but also stocks, have lost a lot of value in recent months, although the dollar has reached the strength it had last 20 years ago. High inflation and interest rates appear to be driving this historic dollar strength. However, if this parabolic movement ends, cryptocurrencies like Bitcoin may have an advantage. The dollar could run into trouble at the latest when the US Federal Reserve ends its tight interest rate policy.
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