Bitcoin doesn’t even need an introduction, almost everyone these days knows about Bitcoin. Hundreds of people have made thousands if not millions of dollars in profit by getting involved in Bitcoin. Those who stepped into the world of cryptocurrency early indeed made a fortune out of a very small investment.
However, the staggering money investors made by investing in Bitcoin has given birth to this illusion that by investing in Bitcoin one can become a millionaire overnight. It is essential to keep in mind that Bitcoin isn’t something which can make you rich overnight. The people who invested earlier also waited for years before they made a massive profit on it.
When the price of Bitcoin started rising during 2017, a majority of the investors sold their Bitcoin to enjoy the profit. However, a valuable lesson we learned was that holding power is crucial. Those who held it for a few more months and sold it during early 2018 made thrice as much profit as compared to those who sold it in 2017.
Price Predictions for Bitcoin
As reported by Theoofy Bitcoin might be heading back to $6,800 after the $25 billion surge. 2018 has been a very rough year for Bitcoin, and the trend was mostly towards the lower side. Although there are uncountable speculations about Bitcoin, John Pfeffer who is a partner at Pfeffer capital predicts that Bitcoin will grow over 75 times. He thinks that a Bitcoin will be valued at about $700,000 in the future.
Bitcoin (BTC) Price Today – BTC / USD
This is a very long-term prediction, and John didn’t specify the time frame within which he expects this increase. Time Draper who is a venture capitalist predicts that a Bitcoin will be worth over $250,000 in three to four years. Clearly, John’s prediction is a little farfetched or a little too optimistic, Draper’s prediction does seem to be possible though.
Pfeffer backs his prediction by saying that he thinks Bitcoin is like gold and is the first thing which can actually replace gold. He assumes that a majority of people will replace gold with Bitcoin because it is easier to store and chances of it being stolen are less. After some complex calculations, the price comes to about $90,000 per coin.
The second factor he uses to back up his prediction is that a quarter of the world’s traditional currencies will be replaced by Bitcoin. The world’s foreign currencies are worth over $12 trillion. He is optimistic about Bitcoin replacing a quarter of the entire foreign currency. And although when thought about the $700,000 price point, it seems a little far-fetched, however, technically it is possible.
The price of Bitcoin if increased by twenty times as a result of the above predicament, it crosses the $700,000 mark. All of these are the long-term predictions also seems to be positive. John McAfee even predicts that Bitcoin will be worth over $1 million by 2020.
John McAfee is the same person who last year predicted that Bitcoin will cross the $7,000 mark and his predictions were entirely true. In one of his tweets, McAfee said that he had used the same model for predicting the $1 million value by 2020. Kenneth Rogoff, an ex IMF chief predicts that Bitcoin will drop to $100 or lower since it is a bubble which is yet to burst.
Tom Lee who is a chief at JP Morgan predicts that Bitcoin will surpass the $25,000 mark as he sees a lot of growth for the cryptocurrency world. Llew Claasen predicts that Bitcoin will be valued at over $40,000 per bitcoin. He says that there will be ups and downs and despite that Bitcoin will climb back up and hopefully meet his expectations.
It is essential to keep in mind that Bitcoin has always surprised us and so you should only invest the amount of money you can afford to lose. Being optimistic is a nice thing, but a cryptocurrency investor should always be prepared for a downfall.