Bitcoin is falling sharply below $55K, but no worries for CoinGecko’s director of operations. According to Bobby On, it’s highly likely that BTC will reach $100,000 this year.
Just a little turbulence? Bitcoin’s fluctuations can make you break out in a cold sweat. Last weekend, BTC approached $60,000 once again. However, it did not overcome this resistance and fell back.
And the top cryptocurrency is down sharply since the beginning of the week to below $55,000. But could Bitcoin fall further? According to analysts, the value needs to hold above 53,000 to avoid such a scenario.
A platform that specializes in cryptocurrency analysis, CoinGecko doesn’t seem to be too worried at this point. In an interview with TheStreet, its director of operations even ventures a prediction.
Bobby On, however, is cautious. He indeed considers “very likely” a price of $100,000 this year. Other crypto market experts are making much higher predictions. For Pantera Capital, this $100K threshold should even be reached as early as August.
The COO of CoinGecko prefers to dwell on the reasons behind this explosive valuation of the crypto-asset. And the first of these is of course the arrival of traditional institutions. Companies like Tesla and MicroStrategy are now investing in Bitcoin.
“Now all CFOs are researching Bitcoin and it’s no longer considered professionally suicidal to suggest Bitcoin as an investment strategy,” Bobby On points out.
And for the executive, the upcoming Coinbase IPO will further contribute to the democratization of cryptocurrencies. This will provide “another catalyst for the promotion of Bitcoin to institutional investors and will probably encourage more Bitcoin purchases. “
Beware, however, for investors not to overlook other crypto-assets. Bitcoin tends to capture all the limelight. Nevertheless, its popularity should also contribute to the democratization of other tokens, including Ethereum.
“This is just the beginning – investors will have to go through a learning curve before considering other cryptocurrencies such as Ethereum,” believes the CoinGecko executive. And then, perhaps, will come NFTs, the non-fungible tokens that are booming in the art sector.
In any case, investors, especially individuals, must remain alert to risk. “Almost everyone seems to be fascinated by the crazy returns that others have made since the recent surge,” observes Bobby On.
Yet, “there is a lack of visibility into what happens when things go wrong,” he warns. The adage remains more relevant than ever: “don’t put money into crypto that you’re not prepared to lose. ”