Notable figures are divided on how high Bitcoin’s price might rise over the coming years given the poor economic situation the world is facing.
Figures like Robert Kiyosaki and Tuur Demeester have recently weighed in with their opinions about the potential price movements for Bitcoin over the coming years.
Kiyosaki, a businessman and no stranger to Bitcoin, predicted that the price of Bitcoin may well rise to $75,000 over the next three years.
Demeester, an investor and writer, believes that Bitcoin could reach 50 if not $100,000 dollars. Importantly as well, Demeester thinks that the lows of mid-March will not be retested.
Kiyosaki’s tweet, which outlined his thoughts, began with ‘ECONOMY dying. FED incompetent’. Hence, the reasoning behind his $75,000 prediction.
Kiyosaki also stated that he has been buying more gold and silver. The theme of hard money assets is clear to see, as well as his worry of inflation degrading the value of his current assets.
Inflation is also a theme within Demeester’s predictions for Bitcoin’s price. He believes that stimulus measures by the Federal Reserve will drive up the price of Bitcoin, as people look to find an asset that protects against the ravages of inflation.
Interestingly, Demeester also acknowledges that while inflationary measures in the United States might drive Bitcoin’s value up — with the buying power of the dollar simultaneously degraded by the Fed — this could also actually undermine Bitcoin’s price as well, as it is typically presented in its equivalent USD value.
So while both experts agree that inflation will have an impact on Bitcoin’s price to the upside, they disagree on the extent this will help the cryptocurrency.
Worryingly, yesterday the Chairman of the Federal Reserve was quoted saying that “there is really no limit to what we can do with these lending programs”. These comments signal that the stimulus packages do not seem to be over, which can only mean more money will be printed and the effects of inflation worsened.
A big factor Demeester believes will contribute to his predicted price rise is that companies will begin to flock to Bitcoin. As Bitcoin becomes more credible and more talked about, it will become palatable for larger investors who could soon be seeking assets that do not follow traditional market movements, like gold.
It is important to remember that these price predictions are being made for the long term. As such, it should be remembered that the price predictions in this article reflect the opinions of experts based on macro factors that may take years to ring true, not days or weeks.