Clem Chambers, general manager of the ADVFN financial market website, believes that the cryptocurrency winter is over and the price of Bitcoin will rise to $ 10,000 by the end of the year.
"All last year I said that Bitcoin would fall to $ 2.500. As a result, his quotes stopped at $ 3.000. Now he started to grow and I think his first goal is $ 6.000, and then $ 10.000," he said in interview to Forbes. "At the moment, we can safely say that the cryptocurrency winter is over. Here is my forecast."
As an argument in favor of his theory, Chambers notes the heightened interest of Chinese investors in the cryptocurrency industry. This is also evidenced by the growth of stablecoin Tether in relation to the Chinese yuan on over-the-counter platforms.
"The money that goes into stablecoins will be an impetus for the growth of Bitcoin, because the flow of funds has a positive effect on the entire cryptocurrency ecosystem," the expert explained.
Chambers touched on the topic of mining new coins. He said, that if new units in the Bitcoin network are mined every 10 minutes, then to maintain the price of the first cryptocurrency, you need to invest $ 9 million daily. In addition, this is on condition that all miners will sell the mined coins. However, many people prefer to "go away" most, so the real amount invested in Bitcoin funds is even lower.
"This figure may initially seem large, but compare it with gold mining. To keep the price of this precious metal at $ 1.300 per ounce, you need to invest $ 140 billion a day," Chambers says.
Gold is the main tool for hedging risks, so it is obvious that its capitalization of $ 5 trillion is much higher than that of Bitcoin, which is $ 90 billion. Chambers drew attention to the fact that, according to Google Trends, the indicator of interest in Bitcoin begins to absorb the indicator of interest to gold, at least in the USA.
Although if you pay attention to data all over the world, the situation is not that simple.
Chambers says that if Bitcoin takes at least 20% of the gold market, it will reach its previous maximum of $ 20,000.
"Cryptocurrency winter is over, the price is gradually increasing. The only question is how high she will manage to climb. At the moment, $ 6.000 is an easy target, $ 10.000 is also not particularly difficult. Personally, I'm still increasing my position," said Chambers.