The bitcoin price could reach $100,00 by the end of December 2021, according to Anthony “Pomp” Pompliano of Morgan Creek Capital Investment.
The founding partner wrote in his newsletter that he is 70-75 percent confident about bitcoin’s move to attain a six-figure rate. Acknowledging that market predictions are seldom accurate, Pomp nevertheless believed in the catalysts that could drive bitcoin higher to make it one of the world’s most valued assets.
One of these catalysts is the classic demand-supply model. Pomp reminded that bitcoin remains a “fixed supply asset with a disinflationary supply schedule.” The cryptocurrency’s underlying algorithm reduces its supply by half every four years. The next event of such kind will take place in May 2020, wherein the supply of bitcoins will reduce from 12.5 BTC to 6.25 BTC.
“The increase in demand for Bitcoin will come from a variety of sources and will be due to various factors. These include large scale institutional adoption, multiple ETF and retail product approvals, increased global instability, lack of performance in traditional markets, and the continued manipulation of markets, economies, and currencies by governments around the world,”said Pomp.
Bitcoin as of Now
The bitcoin-to-dollar exchange rate during the weekend topped above $11,000 for the first time since March 2018. As of 1547 GMT today, the pair was trading at $10,912, according to data aggregated by CoinStats’ crypto portfolio management app.
Entrepreneur-investor Trace Mayer said the bitcoin price is in for a further upside push, believing that uncertainties in the traditional markets are attracting new investors.