While digital currency markets have appreciated significantly in value, some proponents of crypto assets are wondering how far the next bull run will take them. For example, in the last three Bitcoin bull runs there have been different price spikes and significant declines below 80%. If the next bitcoin bull run follows a similar pattern, it is entirely possible that the crypto asset could hit $ 160,000 per unit.
At the time of writing, the cryptocurrency economy is well over half a trillion dollars and is now at $ 538 billion. The big crypto price boom in 2020 has a number of crypto advocates wholeheartedly believing that the bitcoin bull run is now in session.
With a price of around USD 18,977 per coin, Bitcoin (BTC) has horribly hit its all-time high of 2017. A multitude of people believe that Bitcoin could easily hit six-digit values in the future, exceeding the $ 100,000 zone.
In a recent interview, for example, Mike McGlone, Senior Commodity Strategist at Bloomberg Intelligence, talked about Bitcoin in order to maintain current levels. During the report, McGlone said there is a possibility within the next 1-2 years for BTC to add another zero to the back end of the price tag.
A large number of Bitcoiners also believe that BTC could hit $ 100,000 or more, and discussions about that price range are common on Twitter and Reddit forums. For example, Youtuber Colin Talks' crypto tweeted about the patterns of the Bitcoin bull runs on Sunday.
The chart Colin shared on Sunday when he tweeted about BTC's possibilities of hitting $ 160,000 if the price was 8x from the previous ATH.
The graph shared by Colin shows that BTC had three previous bullish price periods in 2011, 2013 and of course 2017. In 2011, Bitcoin (BTC) rose to $ 31 per coin for the first time, but then lost 94% in value.
During the economic fiasco in Cyprus and the heyday of the Mt Gox exchange, BTC rose 37x to $ 1,153 per coin, according to Colin's chart. The following bear market dive saw an 85% loss over the next two years in 2014 and 2015. In 2017, BTC recorded its largest bull run price to date, reaching $ 20,078 per coin on some global exchanges on December 17th.
After the 2017 Bitcoin bull run, Colin's graph shows BTC is down 84% to a low of $ 3,191 per unit. The rest of his diagram shows a series of question marks as the future outcome has not yet materialized.
"This graph shows historically that bitcoin was 37x (and) 17x peak to peak," Colin said in his tweet. “Even assuming the pattern continues and the multiplier decreases, we can expect an 8-fold increase over the previous ATH. 20,000 x 8 US dollars = 160,000 US dollars per BTC, ”added the Youtuber.
Colin added that he "thinks $ 160,000 per bitcoin is a very conservative estimate." “Likewise, I think it's a ridiculous estimate to assume that BTC would only be $ 50,000, for example. $ 50,000 would be just 2.5 times the previous ATH. BTC bull runs have never been this small, ”he emphasized.
Now, if BTC tops out at $ 160 by jumping 8x above its previous all-time high, the possibility of a huge dump pattern could also follow. Assuming a conservative loss in value of around 84% after a high of $ 160,000, the price of BTC would bottom out at around $ 25,600 per coin.
Of course, we have no idea whether BTC will follow a similar path or adopted pattern, and the price of BTC could very well follow an opposite path. Additionally, BTC haters like Peter Schiff think Bitcoin will ultimately be worthless.
“The idea that the value of Bitcoin comes from previous work required to validate the information encoded on the (blockchain) is nonsense. What is the value of my work if I work hard to dig a hole and then fill it with dirt again? Efforts that produce no value are worthless, ”Schiff tweeted on Friday.
What do you think of the possibility of Bitcoin hitting $ 160,000 in the future? Let us know what you think on this matter in the comments section below.
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Photo credit: Shutterstock, Pixabay, Wiki Commons, Twitter, Colin Talks Crypto,
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