There are lots of predictions out there regarding the price of bitcoin, after skyrocketing from about $1,000 to $20,000 last year, went to about $6,000 and now back at $9,200. The volatility of bitcoin is very high, and this makes short-term predictions very difficult.
Nevertheless, an analysis of the evolution of the price of Bitcoin, in the long run, is more reliable. Below are some predictions that were discussed and analyzed to estimate the possible direction of the price of bitcoin in long and medium-term.
Prediction One: The Money of Institutional Investors Will Increase the Price of Bitcoin
American Express-backed startup CEO – Abra predicted that large investors will cause a major breakthrough in the value of bitcoin. He said that there is presently little institutional money in the crypto market and when there is a change in this, the impact on the price of bitcoin will be huge.
So, what is holding the flow of institutional money into the crypto market? The fundamental reason might be the present technological limitations of Blockchain. Nevertheless, there are presently software developers and scientists that are working on trailblazing innovations that could revolutionize Distributed Ledger Technology.
Prediction Two: Ten Years from Now the Value of Bitcoin Is Likely To Be $100 than $100,000
Harvard economist – Kenneth Rogoff predicted that as a result of the high volatility of the price of bitcoin and the limited usage options such as tax evasion and money laundering, the price of bitcoin is likely to be $100 than $100,000 in ten years from now.
He also said that one of the biggest factors in the prediction of bitcoin is its regulation, although he said that only a regulation that is coordinated globally could be effective. Nevertheless, given that countries like Malta are becoming pioneers in the regulation of Distributed Ledger Technology, the possibility of a global regulation unfriendly to bitcoin in the future is very slim.