The price of Bitcoin (CCC:BTC-USD) could be heading much higher based on an analysis from Pantera Capital CEO Dan Morehead.
According to Morehead, bitcoin is currently ahead of the firm’s forecast. Pantera Capital’s forecast has it expecting the cryptocurrency to reach $115,000 per token before summer 2021 comes to a close.
Pantera Capital’s predictions are nothing to sneeze at. CEO Morehead has been a strong force in Wall Street for years. He founded the company in 2003, but prior to that head of macro trading at Tiger Management.
Pantera Capital is using a stock-to-flow model for its bitcoin price prediction. This has it looking over scarcity and demand for an asset to determine its potential future value. In the case of bitcoin, this can be tracked thanks to its halving that takes place about once every four years, reports CoinDesk.
The price of bitcoin has continued to climb higher these last few months. There’s been a rise in crypto investors as more people turn to digital assets in times of economic turmoil. That was ramped up by the novel coronavirus pandemic.
It’s also worth noting that the price of bitcoin is increasing as more services accept the cryptocurrency for payments. Cash App announced today that it now allows users to send BTC to other cashtags for free from its app. It’s also giving out $1 million worth of the virtual currency to celebrate.
Another prime example of a major company adopting bitcoin is Tesla (NASDAQ:TSLA). The company invested $1.5 billion in the cryptocurrency early last month. At the same time, it announced plans to accept BTC as a form of payment. Tesla CEO Elon Musk is a fan of cryptos, including the meme digital asset Dogecoin (CCC:DOGE).
BTC was up 3.5% as of Wednesday afternoon and is up 97.7% since the start of the year.
Bitcoin is not the only cryptocurrency on investor’s minds today.
Other cryptocurrencies on the rise Wednesday include Cardano (CCC:ADA-USD). Crypto traders have been taking extra interest in the stock as Coinbase Pro prepares to add it to its exchange tomorrow. Investors can learn more about that at this link.
More on Bitcoin and Other Cryptocurrencies:
- TKAT Stock: Why NFT Play Takung Art Is Soaring 150% Today
- Cardano (ADA) Price Predictions: What Comes Next After Coinbase Pro News?
- Crypto News: Why LINK, FIL, BAT and LPT Are Surging Today
- It’s a New Name but Same Great Crypto Exposure with Marathon Digital Holdings
- Cardano Is a Rising Altcoin Star, but the Payoff May Be Years Away
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.