Large firms expect a Bitcoin between $ 130,000 and $ 470,000

Right now, it is difficult to predict how far the price of Bitcoin will go. And it is that, for several months, the price of the main cryptocurrency in the world has not stopped growing. Increasing the media attention around the crypto asset, as well as the importance that the main global financial institutions give to the crypto market. For this reason, a radical increase in its price is always possible, with large firms expecting a Bitcoin between $ 130,000 and $ 470,000.

Reasons to be optimistic

Right now, the crypto community has many reasons to be optimistic about the future of Bitcoin. And it is that, since March of last year, the cryptocurrency market has been going through a structural transformation. As the base of it has been transferred from small retail traders, who take advantage of the volatility of their price to generate profits. Directly towards large institutional investors who see BTC as a long-term investment.

Thus, billions of dollars have been invested in the market for Bitcoin and other crypto assets. Leading to a constant increase in its demand, and therefore in its price. Which in turn increases investor optimism, further increasing demand. In a virtuous circle that is also stimulated by the global economic situation.

Well, the contraction of the economy due to COVID-19, added to the multi-million dollar stimulus plans launched by governments to reduce the effects of the crisis on the population. Fears within financial markets have increased regarding a possible increase in inflation at the global level. What makes value reserve assets like Bitcoin more attractive to protect the value of their capital, precisely the advantage that the large firms Ark Invest and JP Morgan see.

Large firms expect a Bitcoin between $ 130,000 and $ 470,000.  Source: CoinDeskLarge firms expect a Bitcoin between $ 130,000 and $ 470,000.  Source: CoinDeskLarge firms expect a Bitcoin between $ 130,000 and $ 470,000.  Source: CoinDeskLarge firms expect a Bitcoin between $ 130,000 and $ 470,000. Source: CoinDesk

Big firms love Bitcoin

On the one hand, JP Morgan, despite its past of clear crypto skepticism, expects the price of Bitcoin to increase significantly. Estimating that it could reach $ 130,000 in the short term, as long as the current trends that drive the demand for the cryptoactive are maintained.

“JP Morgan sets a target of 130K for Bitcoin, but the long-term risk-adjusted fair value of Bitcoin of $ 130,000 would fall to between $ 24,000 and $ 30,000 based on current volatility ratios,” Welt analyst Holger Zschaepitz commented.

For its part, Ark Invest is much more optimistic about the future of Bitcoin. Coming to estimate that the cryptocurrency could reach $ 470,000. This as long as BTC is able to outperform gold as a store of value asset globally, exceeding the precious metal’s market capitalization. A goal that several analysts and crypto influencers consider possible in the long term.

Did you like the content? Share it