This Article does not provide financial advice. No one can predict future with absolute certainty.
Like the 1848 San Francisco Gold Rush, Bitcoin’s discovery ushered in a new era of digital goldrush with over half a million Bitcoin wallet holders holding more than $900 billion worth of Bitcoin. Bitcoin had a value of $0.0008 in 2009; it experienced its first price growth in 2010 when its value increased to $0.08, representing 9900% growth in one year. As of the time of this writing, 1 Bitcoin trades for $50,528, representing 6,315,999,900% growth from 2009 to date. In the present cryptocurrency frenzy, Bitcoin has gained a 152% increase from its last all-time high of $20000 in December 2017 to sell at its current price of $50,528.
There are predictions from notable Bitcoin enthusiasts that it will hit an all-time high of $250,000 before the end of 2021. Will Bitcoin grow past the $100,000 benchmark for 2021?
Similar to the Netherlands’ Tulipmania of the 17th century which saw the price of a single Tulip flower selling for 4000 florins (above the average annual income of a skilled worker) and collapsing suddenly, sending many into bankruptcy, Bitcoin has had a similar historic roller coaster price movement.
Bitcoin held no value between Jan 2009 to March 2010; by 2011, Bitcoin was $1. However, on November 29, 2013, Bitcoin price reached an unprecedented $1,242 and suffered its first crash to $340 in April 2014.
Afterward, following a repeated halving pattern, Bitcoin rose to approximately $20,000 in December 2017 before dropping below $7,000 in February 2018. Unlike the 17th century Tulipmania, Bitcoin has experienced repeated recovery from price crashes setting new records with each recovery, with Bitcoin reaching $60,000 on April 10, 2021.
At the start of 2021, Bitcoin sold for under $30,000, and in April, it surpassed the $60,000 benchmark, almost hitting $65,000. A third of an expert panel surveyed by Forbes believes that Bitcoin will soar past $120,000 by the end of this year.
The Panel believes Bitcoin will trade for $107,484 before August, and a large portion of Bitcoin’s driving force will come from Institutional Investors. However, Paul Ennis, Assistant Professor at University College Dublin, believes that $100,000 per Bitcoin will be an exit point even for Institutional investors.
Bitcoin entered Q2 with a declining rate and sold for $57,843 by the end of April. Unfortunately, the price of Bitcoin dropped sharply to $46,000 on May 12 when Elon Musk declared that Tesla would no longer accept Bitcoin as a means of payment due to the enormous energy consumption required to verify Bitcoin’s transactions. Other reasons for Bitcoin’s price drop might include the US government’s proposed policy intended to regulate Bitcoin transactions and power outages in China’s Xinjiang region.
How high can Bitcoin go in Q3 of 2021? There’s much speculation of Bitcoin hitting the $100,000 mark in Q3. On the other hand, a seasoned Analyst, Peter Brandt predicted that the Bitcoin could trade for between $180,000 to $200,000 in the Q3 or Q4 of 2021. This huge price drive could be due to new policies, whaling actions, or more investors rushing in to have a share of Bitcoin booty.
The frenzy and enthusiasm expressed that Bitcoin will surpass the $100,000 benchmark is relatively high. Not to mention that Pantera Capital used a stock-to-flow model to predict that Bitcoin would hit and surpass the $115,000 benchmark by the end of summer 2021.
In the same vein, Bobby Lee, CEO of BTCC, believes that Bitcoin can reach a new all-time high of $300,000 in the 4th quarter of 2021 before plunging to around $30,000 – $60,000 at the tail-end of 2021.
BTC Predictions 2022-2024
According to the Stock-to-Flow (S2F) price prediction system, Bitcoin may likely start the 2022 year at a price mark of $100,000. Likewise, a Bloomberg report predicted that it could rise to an all-time high of $400,000 based on the tendency for Bitcoin to continue an exponential growth pattern. Hence the call for more people to invest in Bitcoin. However, institutional investors and bitcoin whales cashing out could likely trigger major dips in Bitcoin prices for the year 2022.
Winter seasons don’t last forever, but based on speculations, Bitcoin price would maintain a bearish price movement with occasional surges in 2023 and 2024. However, the silver lining will appear in the sky as Bitcoin enthusiasts prepare for Bitcoin’s next halving. This could be a potential price trigger for Bitcoin, ushering in the Institutional investors, whalers, and retailers. In a recent interview with Raoul Pal, the former Goldman Sachs hedge-fund manager revealed that Bitcoin might eventually hit a new all-time high of $1m in 2024 and beyond.
In a recent interview with Yahoo Finance, David Grider, Fundstrat’s Lead Digital Asset Strategist said that there is a target for Bitcoin to hit the $100,000 mark before the end of the year. So, it is expected that BTC will rise above its present bearish price action.
Institutional Investors, Bitcoin whalers, retailers, Bitcoin halving events, cryptocurrency enthusiasts, and government policies will continue to play a significant factor in controlling Bitcoin’s positive price movement.
Bitcoin is experiencing worldwide adoption as more nations continue to adopt Bitcoin and the blockchain technology as a significant development. Hopefully, Bitcoin will replace the US dollar as the world’s reserve currency. Based on this article, it is advisable to buy and hodl Bitcoin as a store of value only with spare cash since predictions do not guarantee the certainty of an occurrence.