Matt Hougan is the chief investment officer of Bitwise and predicts Bitcoin.BTCThe price of ) is expected to reach $200 000 by 2025 as a result of a shock in supply due to increased institutional demand.
In an exclusive interview with Cointelegraph, in Toronto at Consensus 202025, Bitwise executive stated that the Bitcoin price forecast model of Bitwise is solely driven by supply and demands metrics. Hougan explained the exact figures behind the forecast.
“We know that miners will produce 165,000 BTC this year. Already, publicly traded companies have bought more than that. ETFs are at $6 billion in inflows. We think governments are going to be buying. We see this sort of structural difference between demand and supply.”
“I think eventually that will exhaust sellers at the $100,000 level where we have been stuck, and I think the next stopping point above that is $200,000,” “The executive told us.” Bitwise, one of the US-based issuers and managers of Bitcoin ETFs (exchange traded funds), has managed nearly $4 billion of assets through Bitwise Bitcoin ETFs (BITB) by May 14, 2014.
These institutional demands have also provided liquidity to the market, likely causing the Bitcoin halves cycle every four years. There are significant drawsdowns between cycles of as much as 90%. “vestige of the past,” Hougan said.
Related: “The world is trying to hoard Bitcoin right now” — Eric Trump
Michael Saylor’s Strategy shifts markets on its own
Strategy is a major player in the Bitcoin market. According to, the company pioneered BTC reserves and holds currently 568,840 BTC within its corporate treasurer. SaylorTracker.
Adam Livingston is a Bitcoin author and analyst who recently stated that Strategy “synthetically halving BitcoinThe new supply of gold is outpacing that which has been mined.
Livingston said that Strategy had accumulated 379.800 BTC over the past six months, and would likely dominate Bitcoin lending markets should it continue its rapid accumulation pace.
“BTC’s global cost of capital will no longer be set by ‘the market.’ It will be set by the gravitational policies of the first Bitcoin superpower: Strategy,” Livingston is a writer.
The impact of strategy on Bitcoin supply has been so strong that Ki Young Ju, a market analyst says Bitcoin’s supply is now deflationaryThe annual rate of inflation is -2.33%.
Some analysts have predicted that Bitcoin will reach a price of $1 million in the next decade due to increased demand.
Recently, Arthur Hayes, an analyst and investment firm predicted that BTC could rise to $20,000 per coin. hit $1 million in three years. Hayes said that the deteriorating macroeconomic climate and central bank liquidity injections will continue to push prices upward.
Magazine: Metric signals $250K Bitcoin is ‘best case,’ SOL, HYPE tipped for gains: Trade Secrets
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Source: cointelegraph.com
