$500,000 per Bitcoin? Public Personas Get Bullish on Bitcoin

Financial strategists, stock analysts, and tech gurus are all bullish on bitcoin. Even amidst concerns about how bitcoin will be upgraded and its recent violent price fluctuations, several public figures believe the cryptocurrency has a bright future. They tend to see bitcoin trending upward as demand for the digital currency accelerates. In this regard, bitcoin will either “cannibalize gold” or cause John McAfee to “eat his own dick on national television.”

Tom Lee and the Cannibalization of Gold

On July 7, Fundstrat’s Tom Lee became the $500,000 per Bitcoin? Public Personas Get Bullish on Bitcoinfirst big league Wall Street strategist to analyze bitcoin under a light of optimism. In a report, he claimed bitcoin could reach $55,000 by 2022. He also commented on the gold market, saying that urgency for possessing bitcoin will act as a substitute for gold. A CNBC article covered his enthusiasm:

“We believe one of the drivers [of bitcoin] is crypto-currencies are cannibalizing demand for gold. Based on this premise, we take a stab at establishing valuation framework for bitcoin. Based on our model, we estimate that bitcoin’s value per unit could be $20,000 to $55,000 by 2022.”

He went on to say gold’s market value currently sits at $7.5 trillion, and bitcoin is $41 billion (at the time of writing). However, gold’s supply is swelling due to intensified mining operations, whereas bitcoin’s supply will remain stable as a result of the 21 million cap. This apparently places a huge demand burden on bitcoin, which may cause the price to trend forcefully upward.