Tai Lopez, a leading investor and analyst, said that if the millionaires of the world to allocate only 1 percent of their bitcoin holdings, the price of bitcoin could reach $ 60,000 in the medium term.
According to a report by Forbes, there are nearly 15 million millionaires worldwide, including more than 5 million in the United States and Canada.
Possibility of $ 60,000
Previously, CCN reported that billionaire investor and hedge fund legend Mike Novogratz predicted that the price of bitcoin would easily exceed $ 40,000 by the end of 2018.
The basis of Novogratz's prediction is the entry of tens of billions of dollars from the traditional financial industry and institutional investors into the bitcoin market through bitcoin futures.
"Bitcoin could be at $ 40,000 by the end of 2018. It could easily do that.There is a big wave of money coming in, not just here but all over the world." says Novogratz.
The Chicago Board Options Exchange (CBOE), which became the first major option market to list term bitcoins on December 14, has already shown a rapid increase in demand from institutional and retail investors. retailers.
On the CBOE trading platform, bitcoin is traded with a $ 1,000 bonus. XBT / H8 is currently trading at $ 18,900, more than $ 1,070 more than the bitcoin price quoted on the American Bitcoin exchange Gemini, the official partner of CBOE.
Tai Lopez noted that if a small portion of the millionaires' assets in the world is invested in bitcoin in the coming months, the price of bitcoin "would be deservedly right. approximately $ 60,000. the adoption of bitcoin as a store of value and means of exchange in the global financial market is growing exponentially, $ 60,000 remains a viable medium-term price target.
More importantly, as Novogratz pointed out last month, bitcoin is fundamentally and structurally different from other products because there is no answer from the offer. As such, higher level investors and large scale traders are likely to invest in bitcoin in the near term.
"What is different from these coins compared to other products … there is no answer from the offer The dream of a speculator is therefore that the purchase does not result in a new reaction of supply.So, every price move is exaggerated.It will be exaggerated at the There will be 50% corrections, it will be exaggerated on the way down, "said Novogratz.
$ 1 trillion in market capitalization
The market capitalization of bitcoin, like the cycurrent, is over $ 300 billion or $ 0.3 trillion. In order for the bitcoin stock market valuation to exceed $ 50,000, the market capitalization of bitcoin must reach $ 1 trillion.
Analysts, including Coinbase CEO Brian Armstrong, have repeatedly pointed out that about $ 10 billion in institutional money is waiting to be invested in bitcoin. But, the daily trading volume of the world's bitcoin exchange market is more than $ 16 billion, which is considerably higher than the amount that will be invested by institutional investors by the end of 2018.
For the price of bitcoin to reach $ 60,000, small and large investors will have to invest in cryptocurrency in the coming months, which will favor the adoption of bitcoin as a widely recognized value .