After a Super Typhoon hit this weekend in Asia it provided me some time to research about the price of Bitcoin. After my last article about the price of Bitcoin 2018 vs 2014 trends, I thought i follow up with some some leading industry Cryotcurrency expert forecast and predictions for 2018 and beyond. It was interesting finding which I though it is worth sharing with the wider TRYBE community. I will list out the quotes from some experts and also provide summary of other factors which may impact the price of Bitcoin to increase in value.
Jeet Singh a Portfolio Manager working in the Cryptocurrency space for the past 6 years mentioned earlier this year during the Davos World Economic Forum in Switzerland that the current volatility is completely normal when it comes to the cryptocurrencies. He also stated that it is normal for cryptocurrencies to fluctuate by 70% to 80%. This is one of the main reasons why the current volatility does not worry him at all.
At the moment there is much speculation bubble market because those that “got there at very late stages are losing money.” Though it doesn’t bother the experience traders and used to the volatility. He also compared Cryptos to reputable giants such as Apple and Microsoft where during their earlier years also experienced high level of volatility, as companies develop the business model their stocks rose in value and became much more stable.
“If you look at Microsoft or Apple when they went public their stocks were very volatile because the market wasn’t mature,” he quoted
Crytocurrencies are are used in more like as a store value and people tend to hold currencies which are deflationary and have more value over time.
“There are not so many vendors right now who accept cryptocurrencies but there’s huge adoption on the black market.”
Countries which have huge inflation’s such as Thailand and Indonesia where people are now accepting Cryptocurrencies as a way of life. However in other countries such as the US where it is a Commodity and a Currency in Switzerland. Jeet Singh also predicts:
“Bitcoin could definitely see $50,000 in 2018” despite the fact that “we will probably go through a suffering period of volatility.”
So can Bitcoin really hit $50,000 in 2018. Whilst the prices of Crypto’s are at a low from previous all time highs. For now. whether you believe his prediction or how accurate most investor are staying away from the cryptocurrency boom. Many investors are holding out patiently and seeing how the market will resume their uptrend or not. For some investors they are also awaiting regulatory hurdles to be sorted which may give the market some stability.
Forecast from Industry Experts
John McAfee, A Bitcoin supporter and founder of the popular McAfee antivirus software. He predicted that Bitcoin will hit $1 million by 2020 following last year’s prediction of $7,000 which was well surpassed. No doubt many of you have heard this which has been widely circulated on Social Media:
When I predicted Bitcoin at $500,000 by the end of 2020, it used a model that predicted $5,000 at the end of 2017. BTC has accelerated much faster than my model assumptions. I now predict Bircoin at $1 million by the end of 2020. I will still eat my d***k if wrong.
Llew Claasen (Executive Director, Bitcoin Foundation)
Last month, Llew Classen made a bold statement to reassure Bitcoin believers that the cryptocurrency is on the right track –specifically, on track to reach the $40,000 mark. Though his outlook for some altcoin holders was not very encouraging, he made it clear that as something new, cryptocurrency will be as risky as it is exciting.
Tim Draper, Venture Capitalist
During 2014 when bitcoin was at only $413, Tim Draper predicted bitcoin to reach $10,000 within 3 years. This was fulfilled a month earlier than predicted and earning him a huge reputation and praise amongst the Crypto fans. During an interview with Bloomberg last year, he said he expected the price of Bitcoin to continue throughout 2018. Tim Draper has made successful investment bets with Tesla, Skype, and Twitter in the past.
Tom Lee (Senior partner Fundstrat; ex-chief JP Morgan)
Popular Bitcoin forecaster Tom Lee expects Bitcoin to reach $25,000 by mid-2018. Well that’s missed and if we move the goal post to end of the year then it would mean the price of Bitcoin has to do a 4X in order to make that achievement.
“We expect bitcoin’s major low to be $9,000, and we would be aggressive buyers around that level,”
Though Bitcoin went below Lee’s base of $9,000 (nearer $6,500). It will be a ride similar to the one we witnessed last year for Bitcoin to reach this mark again. Lee;s prediction is counting on the adoption of more institutional investors taking on Bitcoin and a steady increase in Bitcoin user base.
Bobby Lee (CEO BTCC Exchange)
Bobby Lee, CEO of China’s first Bitcoin exchange speaking at the London Blockchain Week went overboard with his prediction. Lee said bitcoin will surpass $1 million but unlike McAfee, he could see this happen in 20 years’ time.
“Bitcoin, I think will get to $1 million per bitcoin…Right now it’s 10,000, it will go 100,000 and then 200,000, 500,000.”
So the industry expert has made their forecast some have missed the mark. Although we have a good 3 Months to go before the end of the year so there is still hope and in Crypto anything can happen. Below are a list of general trend and assessments.
Expect Price Fluctuations:
We are now in Q3 and At this stage, bitcoin and cryptocurrencies will be greatly affected by speculations. However small developments in governments regulations, traditional will likely affect prices. Most investor will agree that the fluctuations are normal and wouldn’t impact the longer term outlook.
Industry experts are likely to make predictions over a longer period. It is common to have bitcoin price predictions for 2020 or a 10 to 20-year outlook. While the current reality may suggest some gloom, it’s worth remembering that the heights achieved last year came amidst similar corrections along the way. It’s only the 1st quarter of the year. Or even comparing that to the 2014 all time high before a huge 70% correction on my earlier articles.
Bitcoin will be the standard for virtual currencies.
Although bitcoin may have a limited use case and slow transaction rate. It has been tipped to remain the king of all Cryptocurrencies. It’s not going to be a case of the flipping “which altcoin will overtake bitcoin” rather how they will impress with their special use cases. It is a fact that the technology behind bitcoin is less sophisticated when compared to many other projects like Ethereum or new kids on the block EOS.
Bitcoin as a store of value
Gradually, bitcoin is being seen more as a store of value that an actual currency being compared to gold and other assets. Bitcoin originally designed as an alternative currency to bank the unbanked. Most decision making bodies and financial experts, however, see Bitcoin more as a store of value, an asset rather than a medium of transactions.
Altcoins will suffer
Part of the process that will lead to general acceptance of cryptocurrencies will include a clean-up of “sh**coins” cryptocurrencies. A high number of the thousands of coins will naturally go away as their value become worthless—some, only a fraction of cent. Brad Garlinghouse, the CEO of Ripple and Llew Claasen of Bitcoin Foundation have voice out raising this alarm.
Economics of Scarcity
The limited supply of bitcoin—a fixed supply 21 million BTCs—will play a significant role in its price, now and in the future.