Bitcoin has recently jumped into the mainstream due to several factors, including the focus that the new administration of President-Elect Donald Trump will place on the crypto market and the rumored implementation of a strategic U.S. Bitcoin reserve. This has skyrocketed prices, bringing the leading cryptocurrency just under $100,000 and registering new all-time highs (ATHs) daily for the past two weeks.
Nonetheless, $100,000 has been positioned as a barrier that analysts consider a sign of hesitation from the market, which is currently assessing whether bitcoin has the strength to go even higher. While it is generally inadvisable to purchase an asset at its highest price, bitcoin might be an exception due to the outlook and the activity surrounding it, in addition to its already known advantages (pseudonymity, scarcity).
Several analysts expect bitcoin prices to reach even higher highs in the future, with some even expressing regret about not getting into bitcoin early. This is the case of Rick Wurster, the incoming CEO of Charles Schwab Corp, which is preparing to offer spot crypto services as soon as possible. “I have not bought crypto, and now I feel silly,” he stated.
Read more: Financial Giant Charles Schwab Signals Big Moves in Crypto Trading
Demand for crypto is also skyrocketing in the corporate environment; Microstrategy recently finalized a convertible senior notes offering for $3 billion, showing private investors still believe in the company’s playbook of accumulating bitcoin.
Read more: Microstrategy Completes $3B Debt Offering to Expand Bitcoin Holdings; Shares Drop 16%
There is also the multiplying factor of the upcoming U.S. bitcoin policies on the world’s consideration of crypto. There have been reports of Chinese President Xi Jinping looking at all bitcoin things differently due to President-Elect Trump’s stance on the issue. If China backpedals on its anti-crypto policy, it would mean opening a market of 1.4 billion people eager to find new investment assets.
Read more: Trump Effect: China Considering Backpedaling on Bitcoin Policy
While no one can see the future, analysts’ opinions are lined up: the future of bitcoin seems solid, and while the opportunities of 100,000 X gains are gone, there is still money to be made investing in bitcoin even if the journey will include increased volatility up and down.
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