According to the predictions, Bitcoin will rise up to more than $1 trillion in ten years
Amid the COVID-19 pandemic and market disorganization, Bitcoin has been on a rollercoaster ride since the beginning of the year, but has ultimately held up, adding more than 40% to the price, and currently exceeds $ 200 billion in market capitalization.
Don’t underestimate the flagship cryptocurrency asset
The price of Bitcoin was around $ 7,000 per coin at the beginning of 2020, and then fell to less than $ 4,000 on Black Thursday in March. The price has since increased and at the time of writing is around $ 10,700 per coin.
This year has seen a marked increase in institutional interest in Bitcoin and the maturity of the cryptocurrency market, especially with regard to the status of the Cue ball as a store of wealth during times of economic uncertainty.
A well-known investor who correctly predicted Tesla’s exponential growth this year has now revealed that he expects the market capitalization of the MTC to exceed $ 1 trillion, with subsequent growth to $ 5 trillion over the next decade.
As Forbes reported on October 4, Ark Invest research Director Yassin Elmanjra recently released a report to convince investors to stop ignoring Bitcoin’s potential as an asset.
“Bitcoin offers one of the most compelling risk and reward profiles among assets, as our analysis shows that it should increase from approximately $ 200 billion today, to 1-5 trillion in network capitalization over the next five to ten years.”
Earlier, Ark Invest correctly directed its investors to invest in electric car and technology development company Tesla, a company whose price has increased by more than 400% this year alone, despite market disruptions.
Bitcoin: the last decade and beyond
It is reported that the AGC remains exceptionally optimistic about the price of Bitcoin in the next decade, and it is enough to look at past years to understand this.
Bitcoin is by far the best performing asset over the past decade, with its price rising from less than a dollar to an all-time high of $ 20,000 per coin by the end of 2017 before a small collapse in the crypto market.
Elmandjra wrote in the report:
“Our analysis shows that Bitcoin is at an early stage of monetization, with significant upside potential. In our view, the $ 200 billion market capitalization of the Cue ball (or network value) will increase to more than trillions over the next decade.»
He also warned that there are still a number of risks that could completely derail Bitcoin’s upcoming bull run. While institutional investment in the crypto asset is encouraging for investors, the analyst says that over-institutionalization could destroy Bitcoin’s value proposition, and could lead to “multiple trusted parties dominating transactions.”
MicroStrategy acquires $ 425 million worth of BTC
The chief Executive of multibillion-dollar business intelligence company MicroStrategy recently discussed the topic of BTC, gold, and alternative asset classes. He explained that, given the Federal reserve’s plans to further raise inflation above 2%, he felt that MicroStrategy’s investment was sitting on a “melting $ 500 million ice cube” with the US national currency depreciating.
This prompted him to secure the MicroStrategy reserve by purchasing $ 425 million worth of Bitcoin. This bold move was the news of the day, as MicroStrategy is the first public company to invest most of its reserve money supply in BTC.