Bitcoin could soon be worth 100,000

By 10/03/2021News
Morning Stock News

Gold  1710,475
(-0,28%)

EURUSD   1,1871
(-0,27%)

DJIA  31747,50
(-0,18%)

OIL.WTI  63,365
(-0,70%)

DAX   1449,50
(+0,01%)

Trends for bitcoin are getting stronger by the day. A price of $50,000 per Bitcoin no longer seems unbelievable. This year, the Bitcoin exchange rate could very likely go to $100k. Let’s try to understand why.


BTC/USD

BTCUSD

The next bailout package is coming soon in the US. This infusion of funds will inevitably lead to inflation, so investors are now looking for replication-independent assets, which is Bitcoin. Considering another cryptocurrency boom, it is likely that some of the bailout money will go into this market. Bitcoin is now on everyone’s lips and it is easy enough to buy it. More and more services are making it possible.
Just a few years ago, big investors like Warren Buffett thought Bitcoin was a fraud and a toxic asset. Now, when the price reached $50,000 per BTC, there are no more such statements from skeptics. More and more big companies are starting to invest in Bitcoin. When big money enters the game, the trend unwinds so that the highs are impossible to guess. Aggressively growing markets can reach obscene levels.
The value of Bitcoin has risen six-fold in a year, but even at that value, investors continue to put coins into cold wallets. In the last 12 months, the number of coins on exchanges has fallen by 20%. And as we all know, if supply falls, the price will rise.
As Bitcoin’s acceptance grows, more and more new companies are coming to the markets. Some giants, like JPMorgan, are even having to give up their own stance on Bitcoin in order to maintain profits. Goldman Sachs is resuming Bitcoin on its trading platform, although it had no intention of doing so recently.
So far, the bullish trend in Bitcoin has been very difficult to stop. The injection of massive amounts of liquidity will only push up the demand for decentralised assets. All of these actions together could give such a strong boost to growth that it will be impossible to predict the next high. But the important thing to keep in mind is that as the price of an asset rises explosively, so does the risk of loss.


What’s in store for us today?

14.30 US Core Consumer Price Index for February
16.00 Canada Interest Rate Decision
16.30 US Crude Oil Stocks


Important Notes on This Publication:

The content of this publication is for general information purposes only. In this context, it is neither an individual investment recommendation or advice nor an offer to purchase or sell securities or other financial products. The content in question and all the information contained therein do not in any way replace individual investor- or investment-oriented advice. No reliable forecast or indication for the future is possible with respect to any presentation or information on the present or past performance of the relevant underlying assets. All information and data presented in this publication are based on reliable sources. However, Bernstein Bank does not guarantee that the information and data contained in this publication is up-to-date, correct and complete. Securities traded on the financial markets are subject to price fluctuations. A contract for difference (CFD) is also a financial instrument with leverage effect. Against this backdrop, CFD trading involves a high risk up to the point of total loss and may not be suitable for all investors. Therefore, make sure that you have fully understood all the correlating risks. If necessary, ask for independent advice.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.