Bitcoin, over the last few weeks, has been soaring. The crypto gained over 35% just last month, with many analysts predicting a greater price increase in the near future.
Popular Wall Street legend Bill Miller has furthermore supported this view of the crypto. He disclosed that BTC has great potential. Many analysts think this is only the beginning of a massive bull run in Bitcoin price.
Interestingly, it hasn’t been all rainbows and sunshine for the crypto this year. Bitcoin dropped below $4,000 in March. The price drop was attributed to the unrest caused by the rising cases of the coronavirus pandemic. Halfway through the onslaught of the virus, the crypto gained traction as many investors turned to it as a hedge against rising inflation in several countries. Many high profile companies like MicroStrategy and Square have also turned to Bitcoin as a reliable store of value. MicroStrategy CEO Michael Saylor recently referred to the crypto as “digital gold”.
High demand, high price
Miller recently voiced support for the crypto, disclosing that “he ‘strongly’ recommends Bitcoin at current prices.” Notably, he also dubbed Bitcoin as the “single best performing asset class” within the last 5 – 10 years.
He also pointed out that, in the near future, every top bank and major investor will most likely “hold” the crypto.
Interestingly, the crypto went through its scheduled halving early this year. Despite the halving, the crypto has continued to increase in value. Its supply, according to Miller, is increasing by approximately 2.5% every year. The demand for the crypto is, however, increasing at a much higher rate. Hence the reason for the continuous increase in Bitcoin price. Simply put, an increase in the demand for the crypto will lead to a subsequent increase in price.
According to the above chart, Bitcoin’s price has increased by about 10% in the last week alone.
More Bitcoin price predictions
Miller’s stance on Bitcoin price also corroborates Paul Tudor Jones’ comments about Bitcoin. Last month, the billionaire hedge fund manager compared buying the crypto to purchasing Apple or Google stock early.
Bitcoin and its underlying blockchain tech arguably remain the most innovative technology of the 21st century. According to popular Tesla investor and Bitcoin enthusiast, Yassine Elmandjra, the crypto market cap is expected to reach $1 trillion in about 10 years.
Recently, BTC mining difficulty dropped by over 16%, providing miners on the network with the ability to earn more from mining. The crypto whitepaper turned 12-years-old on October 31, 2020.
At the time of publication, Bitcoin price was at $15,424.87. It also has a market cap of $285,951,972,027 and a 24-hour trading volume of $22,060,579,043.
Find out more about the crypto on the Altcoin Buzz YouTube channel.