Bitcoin Price Prediction

If you look at it from a rationale or rather an economic perspective, the answer is quite simple - Bitcoin has a limited supply. It implies that the network can only produce 21 million coins in its entire lifespan. Which means that due to a limited supply, if the demand grows (which is quite obvious right now), the value will certainly increase and this was the reason why the very cryptocurrency hit its all-time highest, last year.

Moreover, since companies and individuals have started using it as their preferred mode of payment due to far less taxes as compared with fiat currencies, the surge is bound to rise in the near future.

How High Can BTC Price Go?

Now, that is a tricky question and honestly, nobody has the power to give you a definite numerical value for that. The reason for this ‘positive’ uncertainty lies in the decentralized nature of cryptocurrencies.

Laymen often get confused while releasing their Bitcoin predictions. See, as of yet, the industry sits at roughly 200 billion dollars. If you look at the scenario, a NASDAQ company is worth the same. Therefore, it is quite rational to assume that with the passage of time and money pouring into the network, the prices are quite likely to breach the expected benchmarks and as Clem Chambers (from Forbes) states, it could go beyond 50,000 US dollars.

Just to get an estimate of how volatile things work, you should notice that if the entire value of gold reserves was assigned to the BTC network, the price per coin would be 300,000 US dollars. Hence, it all depends on the money that gets thrown into the stream and how aggressively the demand rises at a given time before the network reaches its maximum supply (i.e. 21 million coins).

What Could Go Wrong with Bitcoin?

Apparently nothing, right? Well, that is where you ‘might’ be wrong. See, BTC runs on a decentralized data structure and therefore, a lot of ‘big fish’ are going against it.

For instance, there has been an urge to regulate the use of cryptocurrencies and China and some European countries have taken countermeasures to ensure the implementation of monetary policies and make the assets taxable.

Even though much success has not been achieved in these efforts, if it happens at the core, there is no doubt in the fact that the value is likely to experience a downfall.

Is There a Chance that BTC Will Go Broke?

Once again, such Bitcoin forecasts are difficult because these statements are scenario based. But still, it holds slim possibility.

Of course, the price may fluctuate exponentially, but it cannot go broke because of various reasons. Let alone the individuals, even some governments cannot afford to let go of the thread and therefore, they will do everything to keep it afloat.

For instance, when the International community puts up a sanction for some country, they could make use of crypto’s anonymity to stay off the radar and yet, carry on with their transactions.

So, you may have a million reservations, but there are quite powerful elements in the World, that cannot afford to see BTC going broke.