Categories: Cryptocurrency

BITCOIN PRICE: Expert says $250k by 2022 a ‘conservative estimate’

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Noted Bitcoin bull Tim Draper is still predicting that the cryptocurrency will hit $250,000 by 2022. Moreover, he believes his prediction is very conservative and that the price could be even higher.

In a recent conversation with Yael Lavie on BlockTV’s Fireside Chat, the founder of DFJ Venture Capital and vocal proponent of Bitcoin reiterated his prediction, which he first made back in November of 2018.

He did qualify his prediction a bit, however, noting that $250,000 was a low-end prediction and leaving open the possibility of even higher prices.

“$250,000 means that bitcoin would then have about a 5% market share of the currency world and I think that may be understating the power of bitcoin,” Draper noted.

Draper reminded Lavie of his 2014 prediction that Bitcoin would hit $10,000 within three years.

“I hit the number on the head when I predicted $10,000 three years before it hit $10,000. And it happened about a week – within a week – of my prediction.”

People prefer fiat to Bitcoin – for now

Draper has also suggested that Bitcoin is not being adopted due to the lack of easy-to-use services offered by crypto companies.

He insists that is why individuals prefer to stay in fiat rather than in Bitcoin.

Draper said that as Bitcoin becomes easier to use, many individuals will move to this digital asset.

“Longer term, if people can do pretty much whatever they can do with fiat with their Bitcoin, they’re going to make the decision that they’re going to like Bitcoin better than fiat because they know that their fiat will depreciate in value.”

Another reason why users will move to Bitcoin is related to governments’ current monetary policies.

The European Central Bank (ECB) and the U.S. Federal Reserve (FED) have lowered interest rates in the last few months.

Inflation and monetary policy as a political tool would ultimately push individuals towards Bitcoin.

Fundamentals continue to improve

Bitcoin has been traded between $9,400 and $10,950 for almost a month. However, miners are very bullish about Bitcoin’s future price.

According to data provided by Blockchain.com, Bitcoin’s hash rate reached its highest point in history on September 11. At that time, the hash rate surpassed 98,500,000 TH/s.

Indeed, Bitcoin’s hash rate has been hitting new highs almost every week since June this year. This shows miners were entering the market despite the current price performance.

In May 2020, Bitcoin is expected to experience a halving event. This would reduce block rewards by 50% to just 6.25 bitcoins per block.

Miners seem confident Bitcoin will behave better in the coming months with an increased narrative related to its halving.

In June 2019, Bitcoin hit its highest price in over a year, after trading close to $13,750.

At the time of writing, Bitcoin has a price of $10,308 – down more than 25% from June’s highs.

Several other analysts and experts have also predicted similar prices in Bitcoin’s not-so-distant future.

BTCC crypto exchange founder Bobby Lee recently told Yahoo Finance that Bitcoin is in the midst of one of its many cycles that would take the cryptocurrency to increasingly higher prices.

“We are in one of many, many cycles to come. Any cycle will take us to higher and higher heights. I’m quite confident sitting on my bitcoin investment that in a very short amount of time we’ll exceed $20,000 and go to $50,000, $100,000, even $200,000.”

And of course, no Bitcoin price prediction conversation would be complete without mentioning John McAfee.

The colorful and controversial figure staked his reputation – and his manhood – on Bitcoin when he made a bet in July 2017 that the cryptocurrency would hit $500,000 by the end of 2020.

A few months later, he amended his prediction to $1 million.

Although we are still 15 months out from the 2020 deadline, Bitcoin’s value would have to grow by more than 9600% for McAfee’s prediction to come to fruition.

That’s a gain of more than $2,000 every single day between now and then, according to the cheekily-named Dickening.com.

Carlos Terenzi

Carlos is an international relations' analyst specializing in cryptocurrencies. He has been working as an analyst for a large number of companies in the crypto industry.

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Carlos Terenzi

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