Bloomberg is optimistic that Bitcoin (BTC) could reach as high as $500,000 considering the rate at which the coin is inching more towards new yearly highs.
Bitcoin (BTC) Price Breaks New Barriers
The flagship cryptocurrency has made a significant mark in the last few days as its price soared beyond the $42,00 mark. Within the last 24 hours, BTC has seen up to a 6% increase in its market value. In the first four days of December, Bitcoin has seen up to an 11% price jump and this is its third month of consecutive gains. Altogether, Bitcoin has garnered a total of 150% increase this year alone.
The turn of events has sparked excitement amongst members of the crypto community.
Financial experts are getting into their elements amidst this excitement and have begun to make bold predictions on the possible future of Bitcoin (BTC) price, some of which are based on mere intuition and certain unclear technical analyses. Most of the predictions fall between $50,000 and around $500,000.
Speaking of the influx of optimistic speculations, Matt Maley, chief market strategist at Miller Tabak & Co acknowledged that “it’s getting crazy again.” He also said that such comments are a clear indication of how quickly sentiment can change for Bitcoin.
“I would argue that one of the most important reasons Bitcoin rallied so strongly in 2020 and 2021 was because of the massive influx of liquidity into the system due to the pandemic,” Maley pointed out. “Without another huge liquidity program, some of those predictions are a pipe dream.”
Spot Bitcoin ETF: a Potential Catalyst
Additionally, the building pressure from the anticipation for a potential spot Bitcoin ETF is believed to have contributed significantly to the recent price jump.
The idea of having a product that can attract traditional institutional investors into the crypto sector without exposing them to the risks that are believed to be associated with cryptocurrencies seems soothing and is attracting a lot of attention now.
Top investment asset management firms including BlackRock, Fidelity Investments, WisdomTree, Valkyrie, VanEck, ARK 21Shares, and Grayscale are well-vested in this push for a new Bitcoin ETF.
The broad crypto industry is patiently awaiting a response from the U.S. SEC on the different spot Bitcoin ETF applications. When the approval finally comes, BTC will likely be on its way to hitting some of its positive predictions as institutional capital is expected to tilt the balance positively
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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