Max Keiser, a highly regarded financial analyst and the host of RT’s Keiser Report, expects to see the Bitcoin price achieve $10,000 in the short-term, if it surpasses the $7,000 mark.
Keiser stated:
“All key Bitcoin metrics, including price, zooming higher. $7,000 will soon fall. $10,000 is a fait accompli.”
Key Factors For Bitcoin Price to Hit $10,000
Demand for bitcoin is increasing at a rapid in rate in most major markets including the US and Japan. General consumers, high profile traders, institutional and retail investors have started to invest in bitcoin as a safe haven asset and long-term investment.
As prominent Wall Street strategist and Fundstrat founder Tom Lee told Business Insider in an interview, bitcoin has evolved into the main store of value for new generation of traders, users, and investors. He further emphasized that if bitcoin begins to threaten the market of gold, it will likely rise further in value exponentially.
“Bitcoin represents a store of value because it is an encrypted database, that for seven years has not been hacked. That is a way to store value. And if personal information is our gold, Bitcoin is our digital gold. So we think that the gold market which is $9 trillion, and for a generation of investors gold was their store of value. I think the next generation of young people view Bitcoin as their store of value. And if it captures 5 percent of the gold market, it is worth at least $25,000 per unit,” said Lee.
As of current, institutional and retail investors including hedge funds and high profile traders are unable to invest in bitcoin directly due to impractical regulatory frameworks and policies. For instance, Ark Invest, a cryptocurrency-focused hedge fund, has been investing in bitcoin through the Bitcoin Investment Trust (GBTC), while others such as billionaire investor Mark Cuban have invested in bitcoin through exchange-traded notes (ETNs) in European markets like the Nordic Nasdaq.
Recently, LedgerX, a digital currency trading platform and clearing house regulated by US financial authorities, opened the first bitcoin derivatives and options trading platform in the US. In its first week of operation, LedgerX settled more than $1 million in trades.
The LedgerX team noted:
“As a new exchange and clearing house with technology built entirely from scratch, we were hoping for a quiet first week with minimal volumes to test the pipes. No press, no fanfare, just a laser sharp focus on our customers, regulators and maybe we’d see a handful of small trades. Wow, were we mistaken — we ended up completing swaps and options trades worth over $1,000,000 USD. Crucially, these trades were cleared through LedgerX, which is the only institutional grade, US federally regulated exchange and clearing house for digital currencies. And we are literally just getting started.”
If the demand for bitcoin from regulated markets, large-scale institutional investors, and traders can be sustained in the upcoming weeks, the $10,000 target of prominent analysts such as Max Keiser will become more realistic.
Disclaimer: The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. It should not be regarded as investment/trading advice. All the information is believed to come from reliable sources. NewsBTC does not warrant the accuracy, correctness, or completeness of information in its analysis and therefore will not be liable for any loss incurred.
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