{"id":161302,"date":"2021-01-23T11:43:47","date_gmt":"2021-01-23T08:43:47","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/believing-not-seeing-institutions-still-predict-100k-bitcoin-price\/"},"modified":"2021-01-23T11:43:47","modified_gmt":"2021-01-23T08:43:47","slug":"believing-not-seeing-institutions-still-predict-100k-bitcoin-price","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/believing-not-seeing-institutions-still-predict-100k-bitcoin-price\/","title":{"rendered":"# Believing, not seeing: Institutions still predict $100K Bitcoin price"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a26b6d6dbda5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a26b6d6dbda5\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/believing-not-seeing-institutions-still-predict-100k-bitcoin-price\/#Many_institutions_see_BTC_at_100000-plus\" >Many institutions see BTC at $100,000-plus<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/believing-not-seeing-institutions-still-predict-100k-bitcoin-price\/#Fanciful_projections_or_imminent_reality\" >Fanciful projections or imminent reality?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/believing-not-seeing-institutions-still-predict-100k-bitcoin-price\/#Investor_sentiment_surrounding_BTC_is_high\" >Investor sentiment surrounding BTC is high<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Believing, not seeing: Institutions still predict $100K Bitcoin price <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>Despite Bitcoin price cooling off in recent days, with the premier cryptocurrency currently hovering around the $32,000 mark, it is still showcasing strong technicals as well as a thirty-day price gain of nearly 40%. Not only that, but even since its recent dip \u2014 which has seen the digital asset fall from its recently established all-time high of around $42,000 to its present value \u2014 the top crypto is still in the green over the last 12 months, exhibiting a value spike of nearly 300%.<\/p>\n<p>In this regard, since the fourth quarter of 2019, a number of traditional finance players have been predicting big things for Bitcoin (BTC), especially as governments all over the world continue to print money in the form of \u201ceconomic stimulus packages,\u201d leading to fears of inflation becoming more prevalent but also of a looming economic disaster that could potentially <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.forbes.com\/sites\/richardmcgahey\/2020\/12\/26\/covid-recession-hurting-state-and-local-budgets-and-the-economy\/\">result<\/a> in a global recession of unprecedented proportions. <\/p>\n<p>For example, during the second quarter of 2020, the economy of the United States <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.business-standard.com\/article\/international\/us-economy-plunges-31-4-in-spring-likely-to-shrink-first-time-since-2009-120093001616_1.html\">plunged<\/a> at an unprecedented rate, with the global powerhouse\u2019s gross domestic product, which outlines a nation\u2019s total output of goods and services, falling by 31.4%.<\/p>\n<p>In the wake of such developments \u2014 including an alarming rate of money being printed by central banks globally \u2014 many investment houses and banking institutions are now beginning to see a future for Bitcoin, especially as a hedge against monetary inflation, despite its current volatility levels.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Many_institutions_see_BTC_at_100000-plus\"><\/span>Many institutions see BTC at $100,000-plus<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Earlier this year, American megabank JPMorgan Chase\u2019s strategy team, led by Nikolaos Panigirtzoglou, claimed that a theoretical target of $146,000-plus could be sustainable for BTC by the end of 2021, pushing the narrative that the digital currency seems to be a prime candidate for replacing gold as a long-term store-of-value, especially for a budding base of younger, more tech-savvy investors.<\/p>\n<p>In a similar vein, new data released by Pantera Capital, an investment firm and hedge fund, reiterates JPMorgan\u2019s sentiments surrounding BTC, suggesting that its price action is closely following the Stock-to-Flow model, thus reaffirming its faith in the digital asset hitting the $115,000 mark by Aug. 1.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/391e37fa-b2a2-4cf6-be4a-340b075076e7.png\"><figcaption style=\"text-align: center;\">Bitcoin\u2019s value ascent in relation to the S2F model. Source: Pantera Capital<\/figcaption><\/figure>\n<p>The S2F model that was developed by PlanB looks at BTC halving events that take place roughly every four years and how they play a direct role in spurring the currency\u2019s value roughly six months after each cycle. In this regard, one can see that following each of the previous three halvings, Bitcoin has shown remarkable growth. For example, after the May 2020 halving, the price of 1 BTC rested at $8,000, only to shoot past the $15,000 threshold after exactly six months.<\/p>\n<p>Raiffeisen Bank too employed the S2F model in a recent report to ascertain where Bitcoin might be headed in the near future. According to the company\u2019s research team, price targets beyond the $100,000 mark or even $1 million may be possible to achieve. \u201cThe fact is, now that the value has more than <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">trip<\/a>led in 2020 and momentum remains strong, future further gains should not surprise us,\u201d the study reads.<\/p>\n<p>Other prominent players from the realm of traditional finance who have projected big things for BTC in the short term include individuals such as Andy Yee, public policy director for Greater China at cross-border payments provider Visa, who <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/ahkyee\/status\/1350287883119128576\">believes<\/a> that this rally is different from the one in 2017, as it marks a shift from high-speculative, nonfunctioning tokens toward Bitcoin and Ether (ETH).<\/p>\n<p>Similarly, Thomas Fitzpatrick, global head of U.S.-based financial giant Citibank\u2019s CitiFX Technicals market insight product, allegedly <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.nasdaq.com\/articles\/citibank-analyst-says-bitcoin-could-pass-%24300k-by-december-2021-2020-11-16\">wrote<\/a> in a private report \u2014 which was leaked online \u2014 that by December, Bitcoin has the potential to scale up to a price of around $318,000.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Fanciful_projections_or_imminent_reality\"><\/span>Fanciful projections or imminent reality?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Even though the S2F model was at first one of the few technical indicators signaling Bitcoin\u2019s astronomical rise, it now seems that an increasing number of experts and analysts are beginning to see the technological and monetary proposition being put forth by BTC and other cryptocurrencies.<\/p>\n<p>Sam Tabar, co-founder of Fluidity \u2014 the company behind the AirSwap trading platform \u2014 and former head of capital strategy for Merrill Lynch told Cointelegraph that everyone needs to remember that the optimism surrounding BTC at this point is not just fluff, as speculation is now backed by real substance, adding:<\/p>\n<blockquote><p>\u201cBitcoin is not ruled by any one person or government. Instead, it is ruled by the simple laws of supply and demand. [&#8230;] In essence, Bitcoin is two sides of the same coin: On the one side is a global currency, and then the other side is digital gold.\u201d<\/p><\/blockquote>\n<p>As a proxy for a global currency, the friction of buying crypto has been significantly reduced, as it\u2019s easier than ever before to acquire Bitcoin. Similarly, as a proxy for gold, Tabar opined that Bitcoin is being used as a hedge against the U.S. dollar, especially as the newly elected President Joe Biden looks to spur U.S. dollar spending in order to prop up the economy against the effects of COVID-19 lockdowns. <\/p>\n<p>Providing a more technical breakdown as to why institutions are betting big on Bitcoin, J. P. Thieriot, CEO of asset trading platform Uphold, told Cointelegraph that unlike traditional dollar debasement havens like gold and other commodities, Bitcoin has zero elasticity on the supply side.<\/p>\n<p>He highlighted that if\/when the price of gold reaches $3,000, marginal gold mines will once again fire up, with the same dynamic being <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>licable with oil and every other non-math-based unit of account. Thieriot believes that \u201cThe unique lack of supply-side elasticity means that, price-wise, BTC will respond more precipitously than things like gold, to the exact same drivers.\u201d He further added:<\/p>\n<blockquote><p>\u201cBTC is in the early stages of its rollout. As it metamorphosizes from fringe curiosity to portfolio must-have, it\u2019s pretty logical to assume that inflows will grow. If I were a bookie, I\u2019d say the over\/under for Dec 31, 2021 midnight&#8230; is $85,000.\u201d<\/p><\/blockquote>\n<p>Lastly, the ever-increasing institutional demand seems to be changing the digital-asset market, which in turn is driving many banks to make seemingly outlandish price projections in relation to BTC. For instance, more funds are now looking to enter the crypto <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/game\/\" data-internallinksmanager029f6b8e52c=\"7\" title=\"Game\" target=\"_blank\" rel=\"noopener\">game<\/a>, and recently, American firm Osprey Funds announced that it will be launching its over-the-counter crypto solution, Osprey Bitcoin Trust, which will likely rival Grayscale Bitcoin Trust.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Investor_sentiment_surrounding_BTC_is_high\"><\/span>Investor sentiment surrounding BTC is high<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>When looking at the market sentiment surrounding Bitcoin, the digital currency is increasingly showing correlations with the core functions traditionally afforded by traditional fiat currencies for their users \u2014 that is, it has become a unit of account, a standard of deferred payments and, lastly, a tangible long-term store of value.<\/p>\n<p>Also, over the course of 2020, an increasing number of e-commerce platforms added support for Bitcoin and other cryptocurrencies as a method of transaction to pay for goods and services. PayPal, for example \u2014 a company that boasts a 28-million-strong merchant base \u2014 now allows users to buy, sell and store cryptocurrencies via its platform. <\/p>\n<p>On the subject, Paolo Ardoino, chief <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> officer of crypto exchange Bitfinex, told Cointelegraph that consumer sentiment around Bitcoin is overwhelmingly bullish right now and that people who are celebrating the rise of various altcoins and other off-chain solutions owe their success to the flagship crypto, adding:<\/p>\n<blockquote><p>\u201cThe king of crypto is the base layer for an emerging alternative financial system. Bitcoin is providing a solid foundation for a staggering array of projects, some of which will fundamentally change the nature of money by the end of the decade.\u201d<\/p><\/blockquote>\n<p>Thieriot believes that the sentiment driving BTC is a result of previously unseen levels of currency debasement generated by the monetary response to COVID-19. Beyond retail speculation, he believes corporations are looking to hedge their fiat exposure, evidently seeing some relative advantages of Bitcoin over traditional havens like gold and subsequently jumping in. \u201cThe early jumpers have been handsomely rewarded, and so the trend is likely to continue,\u201d he added.<\/p>\n<p>Lastly, Tabar highlighted that one of the more recent signs of growing consumer sentiment and institutional acceptance regarding BTC has come in the form of recent filings <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.sec.gov\/Archives\/edgar\/data\/834237\/000119312521012142\/d46120d497.htm\">made<\/a> by BlackRock, an American multinational investment management corporation with $8.7 trillion in assets under management as of the end of 2020. A quick look at the filings showcases a strong use of crypto-oriented language alluding to the company\u2019s funds potentially engaging in \u201cfutures contracts based on Bitcoin.\u201d<\/p>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. 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Not only that, but even since its recent dip \u2014&#8230;<\/p>\n","protected":false},"author":1,"featured_media":161303,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDEvOTNiZDQxMGItZWUzOC00M2IxLTlhM2EtYTRkMzNhOWZiMzIxLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,75802,117,73711,67874],"class_list":["post-161302","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-jpmorgan","tag-business","tag-investments","tag-united-states"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/161302","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=161302"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/161302\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/161303"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=161302"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=161302"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=161302"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}