Does Bitcoin price have the potential to hit a new all-time high? The cryptocurrency market traders are closely looking at the price movement to catch the fresh wave of bull-run. Bulls are optimistic that fundamental factors are improving for both blockchain technologies and cryptocurrency markets.
Bitcoin price continues to trade in the range of $4000 over the last week after a massive crash in November that has wiped off 40% of value from crypto markets.
Anthony Pompliano, the partner at crypto investment firm Morgan Creek Digital Assets believes that the fundamental drivers of the decentralized technology network are growing.
How Are Fundamentals Strengthening?
The analyst and crypto investor claims that rumors about the death of cryptocurrency markets are observations of bears instead of logical analysis. He presented several factors that show the improvement in fundamental elements amidst the steep selloff in prices.
- 1. The growing number of users: The expert says the number of users on websites like Blockchain.com has increased from 10 million in late 2016 to 32 million – a staggering growth rate.
- 2. The Sharp growth in wallets: He highlighted 33% growth in a number of wallets in 2018 compared to the past year.
- 3. Transaction numbers: transaction numbers are jumped sharply though different blockchain technologies in 2018.
Anthony Pompliano believes these factors clearly shows the growth in bitcoin and cryptocurrency adoption as the asset for speculative and payment purposes. He said, “Despite the recent decline in hash rate – measuring the amount of power the bitcoin network consumes –, from a long-term perspective, things are looking positive, as the hash rate has quadrupled in the past year alone.”
Bitcoin Is Set to Hit $250K by 2022
Tim Draper sees the dip in bitcoin price as a perfect buying opportunity for the long-term investors. He claims global markets and businesses are likely to adopt cryptocurrencies – which would lead cryptocurrencies to make up two-thirds of the world’s currency value.
Bitcoin (BTC) Price Today – BTC / USD
Mr. Draper said: “Down the road, when we can easily spend, or invest, or do whatever we want with cryptocurrencies – they are frictionless, they cost you less. Just by that alone, just that they cost you less, it is going to be better for people. And so they are going to move to crypto, and they are going to go away from the political currency – they call it fiat.”
Tim holds his bitcoin price prediction despite the recent selloff. He expects bitcoin price to reach $250K in the following four years. He suggested investors move their dollars to bitcoin and other cryptocurrencies because fiat currencies are politically managed.
“I tend to move my dollars into bitcoin, because I think, well, why would I want this currency that is tied to some political force when I have a currency that is going to be frictionless and global?”, he added.
Besides Tim Draper and Anthony Pompliano predictions, the institutional investments and new products from ICE and Fidelity would help in creating positive sentiments for bitcoin price in short-term