The sentiment within the crypto ecosystem has taken a downward turn along with the overall market cap of late. Nevertheless, industry experts remain surprisingly optimistic about bitcoin’s future. Here are three recent predictions for BTC.
Giving John McAfee a literal run for his money, Bobby Lee, CEO of BTC China, recently came out with a cosmic forecast for bitcoin.
Within a Tweetstorm on Nov. 10, Lee suggested that bitcoin’s upcoming halving, and the supply shock that it’ll bring, will catalyze BTC to flip gold by 2028. Citing a current market cap of around $156 billion, bitcoin would have to perform a move of more than 50x to catch up with gold’s $8 trillion valuation, bringing its value to a staggering $500,000. But the bitcoin bull didn’t stop there. Lee decided to chuck an extra $500,000 on for good measure, citing the monetary easing efforts of global economies.
Moving away from the typical bitcoin halving proposals, venture capitalist Tim Draper priced BTC at a lofty $250,000, thanks to its slowly evolving payment initiatives.
Speaking at Malta’s AI and Blockchain Summit last week, Draper explained how bitcoin’s Lightning Network and payment processors such as OpenNode will boost BTC to inconceivable highs:
It’s because of Lightning Network and OpenNode and maybe others that are allowing us to spend Bitcoin very freely and quickly, so that it’s not just a store of value, but it can be used for micropayments; it can be used for retail, it can be used all over.
For Draper, mass adoption is the aim of the game. However, the Lightning Network is still very much in its infancy, with a plethora of issues to iron out. Giving a prediction of that magnitude within three years might be a little too optimistic.
2022 seems to be a popular year for big price predictions. Although comparatively on the conservative side, Fundstrat analyst Tom Lee believes Bitcoin can break through its previous all-time high due to network value.
Explaining this theory on CNBC’s Street Signs, Lee reiterated his long-term forecast of $25,000, suggesting that it’ll be achieved via investor involvement:
If you double the users hold [bitcoin], you get a quadrupling of value. To go to $25,000 you essentially need a little less than 4x rise, which means you need to double the number of people who hold Bitcoin.
Lee analogized bitcoin’s growth potential alongside that of FAANG stocks (Facebook, Amazon, Apple, Netflix and Google). Lee asserted that 70% of returns in FAANG stocks fell in line with the development and adoption of the internet. He said:
In other words, it’s a LOG function of the internet’s growth, and that’s how cryptocurrencies are going to work.
So it seems, despite short-term concerns, there’s still lots of potential for the future of bitcoin.