There is no doubt that the cryptocurrency sector has been experiencing a downside lately; fortunately, there might be a turnaround as we still have some optimistic experts and investors who hold the opinion that there might be an upward shift in the value of crypto assets in the near future.
A few days ago, it was reported that Mike Novogratz, the CEO of Galaxy Digital, made a bullish comment by predicting the price of Bitcoin to be at least $10,000 before the end of the year.
A community voice at Forbes and the co-founder and COO of BitcoinIRA, Chris Kline, highlighted four factors that might cause the price of BTC to go as high as $40,000 before the end of next year. In Kline’s controversial piece, he made reference to the prediction made by Marc Lasry and approval of what the billionaire investor had to say. He noted that:
“In my opinion — the price [of BTC] may well surpass $40,000 by the end of 2019 and could continue to climb as we enter 2020. I’ve noticed that 2018 has marked a year of major growing pains for the crypto sector. But with growing pains also comes great growth. As Lasry has purportedly said, I believe we will see bitcoin prices continue to climb.”
Bitcoin ETF Approval Sufficient to Drive Crypto?
The principal actors in the cryptocurrency space have held the opinion that once the ETF application is approved, there would be an influx of capital and interest. Chris Kline elaborated on this point, saying;
“If the application is accepted, then I believe bitcoin will become far more accessible to a wider range of investors who wish to invest in a crypto fund rather than directly into crypto itself… ETFs will likely appeal to a wider group of investors in that they are traded frequently and, in my experience, highly accessible via investors’ brokerage accounts.”
He also suggested that the crypto assets won’t be subjected to “the same stringent regulations” as the traditional market due to the exclusion of Bitcoin and Ethereum as securities by the SEC
BTC Network Picking up Momentum
In the conclusive part of the piece, Kline stated that the Bitcoin network had garnered momentum although his data was a little obsolete, he stated that;
“I believe that this trend of more on-chain transactions is indicative of increased demand in the crypto space as a whole, which will only continue to increase as decentralized technology evolves and digital currencies grow increasingly accessible — and useful — to a group of people that once deemed them radical.”
Though he validly established his point about the number of on-chain transactions, he failed to establish the off-chain solution such as Lightning Network which is gaining grounds as well. That aside, the bull market in the crypto sector is evident despite the fact that it is not in the mainstream yet.