Bitcoin will be priced at $1 million? Analysts in the industry have different opinions

In the long run, bitcoin could rise to $1 million (about 6.43 million yuan) as the global reserve currency, according to an asset management company, CNBC reported. But JPMorgan has warned that there will be risks in the future as cryptocurrencies continue to rise. Anthony pompliano, co-founder and partner of Morgan Creek digital assets, said the price of bitcoin could reach $500000 (about 3.23 million yuan) by the end of the decade. Eventually, he added, the price of each bitcoin could reach $1 million (about 6.43 million yuan), without giving a specific time. “I think bitcoin will eventually become the global reserve currency,” he said in CNBC’s latest episode of “beyond the valley.”. I think bitcoin will eventually be much bigger than gold. ” Bitcoin has soared in the past few months, surpassing $50000 for the first time this week. Why is bitcoin going up so much? There are many factors behind the influx of bitcoin. There is a lot of participation from institutional and retail investors. Large companies are also increasingly involved in cryptocurrencies. According to a document this month, square bought some bitcoins last year, while Tesla, Elon Musk’s electric car maker, bought about $1.5 billion. Both musk and square Founder Jack Dorsey are supporters of bitcoin. At the same time, central banks around the world have been loosening monetary policy, such as lowering interest rates and purchasing assets through so-called quantitative easing programs, to help alleviate economies hit by the epidemic. “Trillions of dollars have been injected and injected into the economy, and everyone from individuals to financial institutions and businesses is looking for the best way to protect their purchasing power, and they ultimately think it’s bitcoin,” pompriano said of the reasons behind the bitcoin boom Bitcoin bull’s prediction that bitcoin could reach $1 million is based on several factors, including the scarcity of the cryptocurrency, the upper limit of the currency of 21 million, and the decentralized nature of the technology. There is no central authority like the central bank to control bitcoin. Instead, the so-called bitcoin network is made up of miners who process transactions. These miners operate a large number of specialized computers needed to carry out the bitcoin mining process. Because there are many different miners, no one entity can control the network. And because the computers they use are often very powerful machines, proponents of bitcoin claim that the network is one of the most powerful computer networks in the world. “As more and more people enter the market, liquidity is getting stronger,” pompriano said. The more liquidity, the more practical. The more utility, the more stable the price. If you think about that Internet economy, without local currency, bitcoin will eventually occupy the seat of the Internet economy and become the global reserve currency of that Internet generation. “ JPMorgan’s long-term forecast price of bitcoin compared with that of bitcoin. In January, JPMorgan issued a note to its clients, saying that as bitcoin began to compete with gold, its “theoretical” long-term price target was US $146000 (about 940000 RMB). Gold is widely regarded as a “safe haven” asset, and investors will flock to it in times of political conflict or financial market turmoil. Now bitcoin is moving in this direction. “Bitcoin is competing with traditional gold and bitcoin is like digital gold,” Nikolaos panigirtziglou, JPMorgan global market strategist, told CNBC’s “beyond valley.” For investment purposes alone, he said, the value of gold held by the private sector was about $2.7 trillion (about 17.4 trillion yuan). Bitcoin’s market value to reach this level needs to reach about 146000 US dollars (about 940000 yuan). But there are also some problems, the biggest of which is the fluctuation of bitcoin price. The digital coin is known for its price fluctuations. ‘bitcoin is five times more volatile than gold,’ Mr. panijilzgru said. The JPMorgan strategist said institutional adoption is the key to the convergence of bitcoin volatility and gold. “The faster institutions adopt, the faster volatility will merge,” he said However, there are still risks to the current rally. Although it is driven by institutional investors, retail investors are also highly involved. “The biggest risk is that the traffic impulse we’ve seen over the last few months is starting to slow down significantly from here,” PANI gilzgru said “Especially when the economic weight is newly opened, people come back to the office and they have less time to trade at home, and from then on, the impulse to move will slow down,” he added Bitcoin, cryptocurrency, blockchain Author: Zhang Fuzi, editor in chief: JAX

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