Where Will Bitcoin End in 2021? The Top Predictions
Bitcoin has already set a new all-time high at $58,000 after starting the year just under $30,000. Since setting the high, the digital asset has recently retraced, something analysts regard as normal for the digital asset after a price explosion.
With the retracement, which has seen Bitcoin revisit the $40,000 lows, there is a concern on where Bitcoin will end the year and whether it has topped.
From institutional interest to regulation easing, the year has been positive. With the explosion, few influencers were bearish as it was clear nothing was in the way of Bitcoin.
Most analysts believe the year will bring mainstream acceptance and regulatory developments. Further, they expect the introduction of CBDCs to influence Bitcoin in a major way.
The Bullish Cases
Popular analyst Anthony Pompliano, aka Pomp, first floated the idea of Bitcoin at $100K by 2021, and has been sticking to his guns.
The partner at Morgan Creek Digital has since 2020 believed that institutions will flock to Bitcoin and as demand increases, prices will skyrocket. He further holds that the 2020 halving is a major influence on price behaviour in 2021.
$100k Too Conservative?
Willy Woo, another highly-regarded analyst also holds the same high expectation. But in Woo’s case, he believes that $100K will be highly conservative given how strong Bitcoin has started the year.
In a recent review of his price predictions, the analyst made clear that $100K is conservative for Bitcoin and he expects prices to end the year in the 200K and upwards region. He has further made clear that the Bitcoin at $1 million outrageous predictions should not be ridiculed.
More Bullish Bitcoin Price Predictions
Analyst Bobby Lee is even more bullish. The founder of Ballet, a Bitcoin wallet, famously predicted that the top cryptocurrency will one day hit a million dollars. For the year, he expects Bitcoin will hit $333,000.
The bullish price predictions extend beyond the retail traders. Galaxy Digital CEO Mike Novogratz, one of the key institutional crypto investors, is just as optimistic about Bitcoin’s future.He also supports the bullish predictions, estimating that once Bitcoin is over the $60K top, it could very well go on to end at $100K in the current bull cycle.
Novogratz’ prediction carries a lot of weight, especially since he was one of the most revered Wall Street analysts. His fund currently has over $500 million in assets under management.
Other institutional investors have weighed in as well. Mark Yusko, the founder of Morgan Creek Capital is one who believes that Bitcoin will hit $500,000 by 2030. Yusko’s firm has over $1.5 billion in assets under management and invests in cryptos through Morgan Creek Digital.
The renowned hedge fund manager believes that for this prediction to come true, Bitcoin must be above $50,000 by the end of this year.
Some analysts have gained a cult following after their past price predictions were proven true. One of these is Dutch investor only known as PlanB. For the year, he foresees Bitcoin ranging from $100,000 to $300,000.
“If you look at the trajectory of what we had the last 10 years, where it could go to the levels of gold and real estate, then I expect Bitcoin to do another 10x or 20x. So, it will go to well north of $100,000 maybe north of $300,000 before Christmas,” PlanB stated in an interview.
The Bears
Unfortunately for Bitcoin holders, not all predictions are bullish. Some top influencers think that Bitcoin could still crash.
Guggenheim Partners chief investment officer Scott Minerd is one of them and he predicts that prices will crash back to the $20K region. Though Minerd’s long term outlook is $400,000, he doesn’t think that this year’s run will hold out. He expects after the crash, prices will begin to pick up in 2022, hence urges holders to accumulate during the crash.
Another who holds a similar bearish outlook is Peter Schiff. The long term Bitcoin critic has held that Bitcoin will eventually crash once institutions begin to exit the market. In his opinion, institutional investors are not in the market for the long run and as they exit, Bitcoin will fall.
Where Will The Bitcoin Price Be At The End Of The Year?
Nobody really knows where the price is headed. Bulls are bullish for good reason, and many expect institutional inflows to pick up.
The bearish case should never be discounted even if there’s a buzz about the market.
