In recent days, the upward march of Ethereum has been particularly impressive and has clearly exceeded the $4,800 mark. Bitcoin is also hitting all-time highs after breaking through the $68,000 mark. On the Polish market, bitcoin recorded a price of 270,000 PLN for the first time in history. According to Zonda (formerly BitBay) analyst Sebastian Seliga, the target level of the oldest cryptocurrency is now 300,000 PLN.
The aggregate capitalization of the entire digital asset ecosystem has exceeded $3.1 trillion. The market has increased fourfold from the value at the end of 2020. Bitcoin has more than doubled in value since the start of this year, and Ethereum has increased more than sixfold over the same period.
According to many analysts, the uninterrupted rise in prices is the result of investors looking for investments that protect them against the risk of an excessive jump in inflation. The dynamics of prices for goods and services in the main world economies is very high. In the United States, inflation rose from 5.4%. in September to 6.2% in October. Exceptionally low real interest rates around the world are also encouraging appetite for riskier investments.
Bitcoin broke a record in October after launching the first ETF linked to this cryptocurrency for American investors. This historic step reinforced the narrative that virtual “coins” are finally gaining wider acceptance among the general public, including institutional investors. However, skeptics point out that bitcoin is still unstable – from the beginning of May to the end of June this year, the value of the token fell sharply from $59,000 to below $30,000.
There is a lot of speculation that Elon Musk could have a big hand in the Bitcoin raid just witnessed. Supporters of the world’s richest man voted on Twitter in a poll created by him for sales by a 10% billionaire. shares of Tesla, which produces electric cars. The company fell sharply, and investors immediately wondered what Musk would do with the cash.
The Tesla owner has a lot of cryptocurrencies in his wallet like bitcoin, ethereum, and dogecoin. Michael Saylor, head of MicroStrategy, suspects the billionaire will be interested in buying more bitcoins. Converting Tesla’s balance sheet into a cryptocurrency would provide diversification, inflation protection, and better returns for all investors in a tax-efficient way, Saylor speculates.
The analyst behind the codename PlanB – known for his bitcoin pricing model S2F – predicts the price of the world’s oldest cryptocurrency will hit $98,000 in November and rise to around $135,000 by the end of the year. Recently, PlanB predicted with startling accuracy that bitcoin would end August near $47,000 and fall to $43,000 in September. According to him, the cryptocurrency in a few years could reach a market capitalization at a level between gold and real estate.
Economist and analyst Alex Krüger believes it is possible for bitcoin to hit $100,000 by the end of the year. However, he points out that the most likely range in his base case is $75,000-85,000. The driving force behind the price increase must be exchange funds (ETFs) based on the oldest cryptocurrency.
Krüger predicts that bitcoin could become a bigger asset class than gold within a decade. He calls the cryptocurrency “the gold of the younger generations” and does not rule out that one day you will pay an astronomical price of a million dollars for a “coin”. – A million dollars worth of bitcoins? Certainly, although I have no idea when, said the analyst.
There are also many very optimistic predictions for Ethereum. – With Ether steadily above $4,400 on its daily close, a move towards 5-6,000 is very likely. By January, the price could soar as high as $20,000, predicts cryptocurrency investor and analyst Justin Bennett.
Glassnode’s analysis proves that the markets are expecting a further increase in the prices of major digital currencies. They show that a huge number of bitcoin owners don’t want to get rid of their “coins” just yet. Data on the so-called inactive supply for the last three months shows that it has reached an all-time high of 85%.
In turn, the company Robinhood Markets claims that there are currently up to 1.6 million people on its list of investors waiting for their own cryptocurrency portfolio. A few weeks ago, the company boasted of a shorter but still impressive queue calculated for one million people.
– Robinhood’s planned retail broker cryptocurrency wallet will allow users to freely transfer company-operated digital assets from clients’ brokerage accounts. The implementation of this solution is scheduled for the end of the first quarter of 2022 – announced Christine Brown, the COO of Robinhood Crypto.
The so-called meme cryptocurrencies – dogecoin (pieseła) and shiba inu, which is called the “dogecoin killer”. For several weeks now, the pooch has been almost three times cheaper than in May this year, when it broke the all-time record. The shiba inu, on the other hand, recently fell from a high near $0.00009 to $0.00005.
According to Bloomberg strategist Mike McGlone, dogecoin and shiba inu lack fundamental value. – These are highly speculative tokens based on the hype generated around them. They’re only really fun for players on a global scale, the analyst comments.
Mike McGlone points out that projects like the shiba inu are particularly attractive to new, inexperienced market players due to their very low unit price. He adds that it’s easy to spend $100 on a “coin” with a price that starts at 5 decimal places.