This Bitcoin Price Prediction Says $75, 000 Reachable ter 2018
By David Zeiler , Associate Editor , Money Morning &bull, @DavidGZeiler &bull, January 9, 2018
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At least one Bitcoin price prediction foresees the cryptocurrency going spil much spil five times higher te 2018 – to $75,000.
The Bitcoin price closed 2017 at $13,860 after gaining 1,325% year to date.
This Bitcoin price forecast comes from John Pfeffer, a London-based entrepreneur and investor who served spil a fucking partner at private equity rock hard Kohlberg Kravis Roberts for 11 years and has since founded several entrepreneurial ventures.
Ter other words, Pfeffer is a seasoned professional investor who hasn’t bot involved ter cryptocurrencies (he wasgoed head of the European retail industry team at KKR).
Pfeffer’s Bitcoin price prediction is based on the likelihood of several major developments that he believes could unfold overheen the next several years.
And his Bitcoin price target of $75,000 – exposed exclusively to Money Morning – is just an interim target. The catalysts he describes would thrust the price of Bitcoin several times higher te just two to three years.
Let’s examine this screenplay lump by piece…
Becoming a Store of Value Is the Key to Big Gains
After several months of looking into the cryptocurrency phenomenon, Pfeffer produced a 26-page report that wasgoed published Christmas Eve.
Given his background, Pfeffer set out to “consider cryptoassets from the perspective of a rational, long-term investor.”
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Ter his analysis, he concludes that the coin that fulfills the role of “monetary store of value” will be the most valuable. And Pfeiffer believes the cryptocurrency with the best chance is Bitcoin.
“It has more users, has decentralized (to the point of dysfunctional) governance, has more hashing power than any other crypto, is very stable and sturdy, has bot around longest, and has never bot hacked,” Pfeffer says ter the report.
What’s more, spil the current most valuable digital asset, Bitcoin is already serving spil the den facto store-of-value cryptocurrency. It’s often referred to spil “digital gold,” a nod to the precious metal that has for thousands of years served spil a reliable store of value.
Pfeffer says the odds of Bitcoin assuming this role on a large scale are now inbetween 2% and 5%, and “likely much higher.”
From there, he makes a series of Bitcoin price forecasts based on what will toebijten spil the cryptocurrency becomes increasingly accepted spil a store of value.
Why the Bitcoin Price Could Go spil High $800,000 – Eventually
Pfeffer starts with how much capital is likely to flow from gold to Bitcoin. He figures that about 38% of global, above-ground gold is held spil a store of value te the form of bullion. That translates to about $7.8 trillion.
He estimates that ter the long run – when Bitcoin reaches “mature equilibrium” – it will capture inbetween 25% and 78% of the value of gold bullion – $1.9 trillion to $6.1 trillion. That would require a Bitcoin price of inbetween $104,000 and $335,000.
But Pfeffer thinks Bitcoin also has a good chance to become a global reserve currency. (I fairly agree, spil I wrote about this possibility last June.)