According to famous cryptocurrency analysts, Bitcoin’s price might reach $200,000 this year. Bitcoin is recovering from its worst month since May, after setting a new high this year. Cryptocurrency trading has decreased 16% in the last month, with many blaming the new Covid-19 version. However, Fundstrat Global Advisors co-founders Brock Pierce and Tom Lee anticipate Bitcoin will reach $200,000 in 2022.
Pierce discussed BTC’s performance over the last month in an interview with Fox. He stated that: “People like to speculate, claiming they have answers, but in truth, BTC’s market is volatile. According to him, BTC’s poor performance in December is a result of multiple events.”
BTC, according to Pierce, is a high-risk asset. BTC, he claims, is a store of value rather than an inflation hedge like gold or real estate. It does, however, have a more attractive return profile than the assets mentioned above. Pierce stated that financial volatility in the broader financial sector is what he expects will propel BTC past $100,000.00. “I would not be surprised if BTC goes beyond $100,000.00. It’s conceivable for it to break $200,000 for a moment and come back again,” he said.
He believes the leading cryptocurrency will briefly hit the price level stated before retracing down. Bitcoin’s price performance in 2022 will be determined by “external variables,” referring to the world’s huge money production. During the Market Rebellion Roundtable talk on December 23, Ton Lee forecasted $200,000 for BTC.
In the wake of ProShares releasing the first Bitcoin exchange-traded fund (ETF) in the United States, Lee reiterated his $100,000 BTC price estimate for 2021. While many believe the COVID-19 Omicron variant started and drove the current bear market, Pierce took a more analytical approach, saying, “BTC’s price is down because there are more sellers than buyers in the market.”
He admitted that some investors are putting their money into other cryptos, which is one of the causes for BTC’s poor performance. Some cryptocurrencies are aiding the Bitcoin concept’s development.
Bitcoin is a digital currency, he continued, but Ethereum aspires to create programmable contracts. Because each idea is unique, Pierce compares the crypto realm to the internet in 1999.