Bitcoin could soar to $100,000 this year on the basis of current trends, according to Marcus Swanepoel, chief executive of Luno, a London-based cryptocurrency platform. The leading cryptocurrency reached $34,800 for the first time on Sunday, extending a record-breaking rally in the volatile currency that delivered a more than 300 percent gain last year. Bitcoin soared nearly 800% to reach $34,800 earlier on Monday. The second leading cryptocurrency Ethereum also went past $1,000 for the first time in three years.
“Bitcoin could reach $100,000 this year”.
With 2021 trading in key financial markets only just commencing, bitcoin has resumed its dizzying ascent, rising more than 10% in the first few days of January. “Even the most bullish of bitcoin advocates could not have foreseen such a meteoric rise in price in such a short space of time,” said Marcus Swanepoel, chief executive of Luno, a London-based cryptocurrency platform. History suggests a small pullback could follow, the chief executive added. He added that “something approaching the $100,000 mark before the year’s end” was possible.
Institutional interest pushes bitcoin to new heights.
There are said to be many factors that played a part in the recent upward rally of bitcoin price. At the time of writing, bitcoin’s price is trading at just above the $30,000 mark. The main reason for this mammoth rally of bitcoin is the growing institutional interest in the cryptocurrency. Bitcoin’s advance also reflects increasing expectations of it becoming a mainstream payment method, with PayPal opening its network to cryptocurrencies. As reported earlier, Dave Chapman, Executive Director at Hong Kong-based digital asset company BC Group, said that institutional investors see the potential for greater risk-adjusted returns compared to traditional investments.