A number of crypto asset observers agree that Bitcoin's massive strength over the past few weeks will be followed by even greater gains in the future. Other observers have even predicted that Bitcoin could return to touch the US $ 20 thousand this year or early 2021.
The price of bitcoin has reached the level of US $ 15,000 per BTC.
Christopher Tahir, Co-founder of CryptoWatch and manager of the Duit Pintar channel, revealed that the increase in bitcoin prices last week was due to the momentum of a flood of liquidity in the financial market.
Meanwhile, Nicholas Pelecanos from NEM, quoted by Forbes “Basically, Bitcoin is much stronger today than it was three years ago, due to a number of factors. For example, halving, increased institutional adoption, use in transactions for goods and services, including US public companies investing in Bitcoin, and then PayPal, which provides trading services for crypto assets, ”reported by Forbes, November 7, 2020.
Pelecanos said again, historically, Bitcoin performed very well at the end and beginning of the year. So, he will not be surprised if Bitcoin can be the highest price throughout the mass, [ie US $ 20 thousand] this year or in early 2021.
Another observer, Glen Goodman, highlighted the latest data from Google Trends that reflects the surging search interest in Bitcoin, compared to a few weeks ago.
In the last 90 days globally, from 8 August 2020 to 17 October 2020, the trend of interest tended to decline, from a score of 74 to 45. However, after mid-October 2020, interest increased dramatically, to 100, as the highest score on Google data. Trends.
For Goodman, the data reflects the current interest in Bitcoin users from retail circles. In fact, he admits it is very good for the Bitcoin market, rather than more institutional or mainstream circles.
“This is the same phenomenon we see in all asset markets, not just crypto assets. The slow and stable development of Bitcoin and other crypto-assets will actually result in a more sustainable price increase, ”he concluded.
Previously, a similar predictive tone came from Mike McGlone, an analyst at Bloomberg Intelligence on November 5, 2020, through a special and in-depth study.
He predicts that the price of Bitcoin could reach more than the US $ 35 thousand per BTC by 2021, compared to the price of 3 November 2020, US $ 13,700 per BTC.
“If the previous Bitcoin Halving served as a signpost, 2021 will be a strong bullish year. If Bitcoin rose by only a quarter of around 1,375 percent in 2017, the year after the new daily supply of Bitcoin fell to 1,800 BTC, then the Bitcoin price would exceed the US $ 35,000 in 2021 versus around the US $ 13,700 per BTC on November 3, 2020, "emphasized McGlone, 4 November 2020.
ByteTree in its latest study in October 2020. For ByteTree, the increase in the value of Bitcoin at this young age is not due to external factors, such as the increasing supply of fiat money, bond yields, geopolitics, and inflation.
For him, the increase in the value and price of Bitcoin is due more to the "Network Effect", where the growth in value is directly proportional to the size of the network, which is determined by the increase in the number of participants on the network.
In this case, Bitcoin "inter-transaction", thanks to its relative advantage with other valuable assets, is an active form of "communication-interaction network".
“However, a lack of cash flow (liquidity) does not mean an asset has no value, including stocks, commodities, or works of art. They all have dynamic market dynamics, which shows their value, ”wrote ByteTree.
He continued, in terms of Bitcoin, its value is proportional to the size of the network. If people buy Bitcoin but never use it, the network will eventually melt, liquidity dries up, and investors will be disappointed.
“However, as the use case and adoption grows, market depth will remain strong, networks will grow, and prices will go up. So, Bitcoin strengthens because it reflects growth in the digital economy, "said ByteTree.
Bitcoin's 180-day volatility chart fell to near a 2015 deep, around 36 percent. And for the first time, it fell below the Nasdaq 100 Stock Index. From October 2015, when volatility hit its 2017 low, Bitcoin increased by about 8,000 percent.
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