Bitcoin could grow to $ 100 thousand in 10 years

Thursday, August 31, 2017

  • Bitcoin could grow to $ 100 thousand in 10 years 
  • Bitcoin's market capitalization in 10 years can reach $ 1.75 trillion 
  • Soon experts will be able to identify new fundamental factors for crypto-currencies 
Bitcoin could grow to $ 100 thousand in 10 years
Bitcoin could grow to $ 100 thousand in 10 years
Bitcoin could grow to $ 100 thousand in 10 years, which would mean an increase of 3483% from the current record high, the analyst said, who quite rightly predicted the crypto-rally rally this year. 

In December, Saxo Bank published its annual report, "Shocking Predictions," in which the forecast for bitcoin growth was above $ 2,000 in 2017. When the forecast was published, bitcoin traded at $ 754, so the target price is 165%. Bitcoin reached $ 2 thousand on May 20. 

However, analyst Kay Van-Petersen predicts another growth of the crypto currency: $ 100 thousand for 10 years.

Van Petersen believes that crypto-currencies in general - not just bitcoins - will account for 10% of the average volume of trade in fiat currency for 10 years. Now the average volume of foreign currency trading is just over $ 5 trillion, according to the Bank for International Settlements. 

10% of $ 5 trillion - $ 500 billion. Bitcoin will account for 35% of this market share, that is $ 175 billion from $ 500 billion. This means that the daily trading volumes of bitcoin will be $ 175 billion. 

In addition, Van Petersen believes that the market The capitalization of bitcoin will be 10 times the average daily trading volume, which gives a figure of $ 1.75 trillion in market capitalization. Currently, this figure is about $ 37.8 billion, according to the website of CoinDesk.

Bitcoin has a limited stock of 21 million, which is expected to be achieved by 2040. In 10 years, 17 million bitcoins will be in circulation, now they are 16.3 million, the analyst said. 

If the market capitalization of $ 1.75 trillion is divided into 17 million bitcoins, each bitcoin will cost just over $ 100 thousand. 

Van Petersen emphasizes that this is a rough calculation, but that his growth forecasts may be "conservative", given that in 2013 The price of bitcoin has increased by more than 5000%. The analyst noted that crypto currencies are able to survive in the long term.
Bitcoin could grow to $ 100 thousand in 10 years
Bitcoin could grow to $ 100 thousand in 10 years
In the field of bitcoin, there is also a share of problems and the possibility of reputational damage. The digital currency is often perceived as a currency that is used to conduct various illegal transactions, such as buying drugs on the Internet. There was also an example of a hacker attack by a malicious program called WannaCry, which encrypted all files on the computer and required bitcoin in exchange for unlocking them. 

Nevertheless, Van Petersen says that the industry is still very young and it still needs improvement. A number of factors will stimulate the development of bitcoin, including improved wallets, simple methods that allow buying a digital currency, use it for remittances in various regions, especially in volatile economies.

"Volumes are growing, volatility is dropping, many people are talking about volatility, but if you are in Zimbabwe or Venezuela, this volatility does not mean anything." And I think that in the West, many see it as speculation, but emerging markets will get Her, they have other needs, "added Van-Petersen. 

And while Van Petersen suggests one way to determine the value of bitcoin in the future. Analysts believe that there are other factors that need to be taken into account. 

The cost of crypto currency will be influenced by the fundamental factors that will determine the development of bitcoin from a technical point of view and from the point of view of regulatory issues.

 
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