The CEO of the Excoinway cryptocurrency exchange is confident that bitcoin can reach $100,000 within a year.
Initially, bitcoin may fall along with the traditional financial market as the US Federal Reserve began to roll back its sweeping pandemic-era stimulus policy. But in the end, a “crash” in stocks could force the Fed to return to easing, and along with the market, risky assets, including bitcoin, will begin to rise.
According to him, the world’s largest cryptocurrency could rise above $100,000 within 12 months.
While there are still some hurdles in the crypto market overall as the global regulatory environment is fragmented and digital currency remains volatile.
If the forecast is correct, this would mean that the price of bitcoin should more than double this year.
That year, BTC managed to peak at just over $29,000. But this cryptocurrency eventually topped $50,000 in February 2021. After 2 years, the crypto environment has changed somewhat and the crypto market has matured, now it has enough liquidity, as large institutions from Wall Street, such as Jump Trading and Jane Street, began to turn to digital assets.
Meanwhile, crypto whales like Do Kwon, co-founder of blockchain firm Terra Labs, have been snapping up millions of dollars worth of bitcoin in the belief that it could become a “reserve” currency in the future.
It will have to overcome several hurdles to growth: the unsettled global regulatory environment and general volatility in the cryptocurrency market. Bitcoin, like any risky asset, is also still strongly correlated with the stock market, in particular, with the Nasdaq index. While stocks remain volatile, Bitcoin is also volatile.
Its value is still about 40% below its all-time high of $68,990.90.
But there are other optimists: Bitfinex CTO Paolo Ardoino, who expects Bitcoin to be well above $50,000 by the end of this year. Bitcoin could plummet below $40,000, but then be “much higher” than $50,000 towards the end of the year, he said.