Bitcoin price is still on track to hit record highs this year, according to Dan Morehead, founder and CEO of Pantera Capital. During a podcast interview with Unchained, Morehead explained the massive growth potential. “Graph the price of bitcoin logarithmically and its trend has been to grow at 235% compound annual growth rate. That puts BTC at $42,000 at the end of 2019. I think it’s a good shot that at the end of the year we hit that.”
He sees the trend continuing, “If you just extrapolate that (logarithmic) line out, for another year it’s $122,000 for BTC and in one more year $356,000.” Morehead admits that it sounds crazy. But he mentions how when the price of bitcoin was $100, he predicted it would go to $5000 and everyone thought he was “nuts.” The influx of institutional money is one of the key factors for positive price predictions. As Fidelity and Bakkt gear up to launch their institutional-grade platforms, many see bitcoin price rising with them. Morehead says more institutional investors are finding their way to Pantera Capital.
Morehead seemed bullish on Facebook’s new digital currency, Libra. While many regulators have scoffed at the coin, Morehead believes they did a “clever ting” by making it a basket of currencies. By distributing the value between different currencies, it will reduce volatility. Morehead even goes so far as to say that it could become the next reserve currency. “ The reserve currency has shifted 4 or 5 times over the last five centuries. You could imagine something like libra, a basket token, ultimately becoming a place that countries can store wealth in.”
$356,000: Stratospheric Bitcoin Price Coming in 2022, Predicts Pantera Capital CEO, CCN, Jul 24