Investing.com financial expert sees Bitcoin soon at 60,000 US dollars
Jesse Cohen expects the price to rise to 60,000 US dollars and investors also seem to support this thesis.
An analyst at influential financial portal Investing.com says Bitcoin (BTC) will soon climb to US$60,000 in the new year.
Jesse Cohen, a senior financial expert at Investing.com, believes that the market-leading cryptocurrency will make it to US$60,000 as early as the first half of 2021.
He sees continued interest from institutional investors combined with „a flood of cheap money being of Bitcoin Future flushed into the global financial system“ as the driving force behind this upswing. He is referring to the „loose“ monetary policy of central banks, which in the Corona crisis are putting more and more money into circulation that has no apparent equivalent value. To this effect, he states:
„After a record year in 2020, when Bitcoin gained more than 300%, this run-up is likely to continue in 2021, as more and more retail and large institutional investors enter the market. […] For those already in the market, the key is to keep holding. […] Many inexperienced investors are now venturing into seemingly risky investment products, including Bitcoin.“
The view that more and more retail investors are also taking a liking to cryptocurrencies is supported by a new survey from Investing.com, which shows that 63% of UK respondents plan to invest in Bitcoin in 2021. More than 60% of respondents also expect Bitcoin to climb above $60,000 this year.
So although sentiment around Bitcoin’s future price performance is improving, there are nonetheless concerns about how the cryptocurrency will be regulated. „As Bitcoin moves into the mainstream and gets more attention, regulators in the US, Europe and Asia will keep an eye on it.“
Above all, Cohen believes the change of government in the US is the big unknown in the equation
„The continued path upwards will probably not be as smooth as it was before. I expect there will be a retracement at some point,“ as the analyst therefore puts a little brake on his optimism.
According to his portal’s survey, respondents see crypto regulation as the biggest threat to Bitcoin in the new year, so crypto investors agree with him.
In the meantime, a price forecast of 60,000 US dollars can even be understood as conservative, because much higher predictions have already been made for 2021. For example, Dan Morehead, the CEO of Pantera Capital, thinks that Bitcoin will climb to 115,000 US dollars as early as August, while Catherine Coley, the head of Binance.US, allows time for it to rise to 100,000 US dollars by the end of the year. PlanB, the crypto analyst behind the Stock-To-Flow (S2F) calculation model, meanwhile, considers a price between 100,000 and 288,000 US dollars realistic by December 2021.