Why Bitcoin Could Reach $ 700,000 In Just 10 Years

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Bitcoin and cryptocurrencies, despite some recent volatility, have skyrocketed over the past year, with the price of bitcoin increasing by around 250%.

The price of bitcoin topped $ 60,000 earlier this year before collapsing, losing about 40% of its value in a matter of weeks. But many crypto investors remain confident that bitcoin will far exceed recent highs and potentially rise to other smaller cryptocurrencies (subscribe now to Forbes CryptoAsset & Blockchain Advisor and check out crypto blockbusters ready for $ 1,000 gains. %).

Today, one of the first bitcoin investors who manages a $ 2.8 billion crypto-focused fund predicted that mass adoption by the general public could push the price of bitcoin up by around 1,500 % over the next decade.

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The price of bitcoin has jumped over the past year and some expect bitcoin to continue to climb.

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“We did a study showing the number of people using bitcoin over the years and the price of bitcoin,” Pantera Capital founder Dan Morehead told Yahoo Finance.

“These two sets of data have increased by an order of magnitude every two years. If this continued, it would take bitcoin to $ 700,000 when everyone with a smartphone was using it. Ten years is a reasonable forecast.”

Adoption of bitcoin and crypto has surged over the past year as payment platforms such as PayPal PYPL and fintech companies including Jack Dorsey’s Square SQ allow users to buy and trade. digital assets. Others, including card giants Visa V and Mastercard MA, have recently indicated that they are preparing to offer increased support for bitcoin and cryptocurrencies.

Bitcoin received a big boost this year thanks to backing from Tesla TSLA billionaire Elon Musk. Tesla said it bought $ 1.5 billion worth of bitcoin in February, putting bitcoin on the company’s radar.

Others have named bitcoin as a hedge against a rising tide of inflation that threatens to devalue fiat currencies following massive coronavirus lockdown money printing.

“I think the macro story is so positive, there is so much money printed and so many institutions are entering the space that over the next twelve months the markets are going to resume their rally,” Morehead said. .

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The price of bitcoin has climbed several thousand percent over the past decade with many bets … [+] Bitcoin will continue to rise in the years to come.

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Meanwhile, bitcoin and crypto traders are closely monitoring indicators of where the bitcoin price may be heading in the near term.

“Some on-chain measures suggest a continuation of the recent uptrend,” Marcus Sotiriou, UK-based digital asset trader, GlobalBlock wrote this week, highlighting data suggesting that short-term speculators have been selling in the past. a few months while long-term holders accumulate.

“Technically, bitcoin closed above the 21-week exponential moving average [yesterday], which is considered by many to be the key support for the bull market, as well as the 100-day simple moving average. However, the upward wedge distribution suggests that bitcoin could fall back to the middle of the range at around $ 36,000, or less before the recovery continues. “

After the bitcoin price fell in May, bitcoin struggled to find support above $ 40,000 per bitcoin. However, some believe that could change in August.

“Options data suggests the market is positioning itself for another head start on bitcoin by mid-August,” wrote Pankaj Balani, managing director of the Delta crypto derivatives exchange, in a note.

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