Can Bitcoin Reach $100,000?
Neil Patel 1 day ago
Louisville mayor punched in random retail store attack
Justices seem poised to hear elections case pressed by GOP
Since hitting an all-time high of almost $69,000 last November, Bitcoin's (CRYPTO: BTC) price has plunged about 70% as of this writing as investors have soured on risky assets. But despite the poor recent performance, this doesn't mean that the long-term potential for this top cryptocurrency is impaired.
Provided by The Motley Fool Can Bitcoin Reach $100,000?
In order for Bitcoin to reach $100,000 per coin, it would need to rise in value roughly fivefold. This might seem like a stretch, but it isn't out of the realm of possibilities. Let's take a closer look at what needs to happen.
Load Error
The store-of-value argument
Bitcoin's most prominent use case rests on it becoming viewed by investors as a "digital gold." For decades, gold has been a popular asset for people to park their money in. Bitcoin, however, has four key advantages compared to the precious metal.
Bitcoin is easier to store, as it doesn't take up any physical space. Secondly, one Bitcoin is divisible to the eighth decimal place (or one-hundred-millionth of one Bitcoin), called a Satoshi. Additionally, thanks to the numerous payment services out there, like a Visa debit card from Coinbase and "Checkout with Crypto" from PayPal, Bitcoin can be used to buy goods and services.
Lastly, Bitcoin is absolutely finite. There will only be 21 million coins ever produced. And this supply cap, coupled with rising demand, supports a higher price over time. The supply of gold, on the other hand, can increase if the price of the metal soars enough to make it economical to search for deposits and open more mines around the world.
These critical characteristics support the argument that Bitcoin could very well be superior to gold as a store of value. Even if Bitcoin's entire market cap, which stands at $393 billion as of this writing, only reaches 15% of the $12.5 trillion of gold in the world, the price of one coin would eclipse $100,000. I don't think that's a huge stretch.
Expanding set of infrastructure and utility
It's probably very likely that most people's first interaction with cryptocurrencies is to buy Bitcoin. Luckily, today, there are an unlimited number of ways to purchase the digital asset. Fintech players like Block, Coinbase, PayPal, and Robinhood make it effortless to buy and store Bitcoin with just a few taps on a smartphone.
Then there are more advanced services that might appeal to institutional investors. For example, investment bank Goldman Sachs has a dedicated Bitcoin trading desk. There are also numerous Bitcoin-related exchange-traded funds.
Video: Bitcoin Selloff: Watch These Price Levels Next (TheStreet)
Skip Ad 5
Video Player is loading.
Play Video
Play
Ad
Current Time 0:00
/
Duration 0:00
Loaded: 0%
Mute
100
Caption
- captions and subtitles off, selected
[size]
Full screen
This is a modal window.
No compatible source was found for this media.
Beginning of dialog window. Escape will cancel and close the window.
TextColorWhiteBlackRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentBackgroundColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyOpaqueSemi-TransparentTransparentWindowColorBlackWhiteRedGreenBlueYellowMagentaCyanTransparencyTransparentSemi-TransparentOpaque
Font size50%75%100%125%150%175%200%300%400%Text edge styleNoneRaisedDepressedUniformDropshadowFont FamilyProportional Sans-SerifMonospace Sans-SerifProportional SerifMonospace SerifCasualScriptSmall Caps
Reset Restore all settings to the default values
Finished
Close
End of dialog window.
Bitcoin Selloff: Watch These Price Levels Next
Click to expand
Replay Video
[/size]
- Semi Check-in: Should You Take Intel With a Grain of Salt?Here's what clues from Taiwan Semi and Intel say about the… TheStreet
- Crime and Crypto: DOJ Cites Need For International CooperationA recent cryptocurrency report from the Department of Justice argues… TheStreet
- Are Markets Oversold? Here's How to TellOur top technical analyst explains which indicators to watch when… TheStreet
[size]
UP NEXT
Bitcoin Selloff: Watch These Price Levels Next
TheStreet See more videos
SHARE
SHARE
TWEET
SHARE
What to watch next
[/size]
Semi Check-in: Should You Take Intel With a Grain of Salt?
TheStreet
Crime and Crypto: DOJ Cites Need For International Cooperation
TheStreet
Are Markets Oversold? Here's How to Tell
TheStreet
What Target's Inventory Problem Says About Walmart and the State of Retail
TheStreet
Is More Downside Ahead? What This Technical Analyst Expects
TheStreet
Five Recession Risk Factors To Watch
TheStreet
What Does Pain at the Pump Say About the Economy?
TheStreet
Can Amazon Go to $140 After Stock Split? What the Chart Says
TheStreet
Does Discord Work For Web3? Lessons From Latest BAYC Hack
TheStreet
What Is a Stock Split?
TheStreet
WWDC 2022: Will Apple Dazzle With a New Product?
TheStreet
3 Reasons to Buy AMD Stock
TheStreet
Investor Sentiment Toward Fed's Pace of Tightening
TheStreet
Will You Use Your Dogecoin for SpaceX Merch?
TheStreet
Don't Panic About Apple Production Reports
TheStreet
Terra Saga Continues: Latest News
TheStreet
Because fiat currencies, like the U.S. dollar, lose value over time thanks to inflation, major corporations like Block, MicroStrategy, and Tesla have decided to allocate some cash on their balance sheets to Bitcoin. I expect more companies to do this as well.
The growing legitimacy of Bitcoin as an asset has resulted in countries like El Salvador and Central African Republic making it legal tender within their borders. Whether citizens are actually using Bitcoin in their daily lives is another issue, but these moves demonstrate that leaders are taking it seriously.
Besides being used primarily as a store of value, Bitcoin could also play a role in disrupting the $589 billion global market for remittances. Citizens abroad must traditionally pay hefty fees, averaging 6.5% of the transaction size, to money transmitter businesses in order to send money back home to loved ones. Developers must find ways to scale Bitcoin's network, but with fees that are essentially nonexistent, this is a potential use case that can unlock sizable economic value in the world.
As demand for Bitcoin rises, the price will, too.
One looming threat
The path to $100,000 per coin is not without risks. The biggest factor to consider is the threat of government intervention. Last year, China basically banned mining and owning cryptocurrencies. While leaders in the U.S., like Securities and Exchange Commission Chair Gary Gensler and Federal Reserve Chairman Jerome Powell, have publicly stated that they don't intend to ban cryptocurrencies, investors will need to pay attention to any developments here.
In May, the While House issued an executive order tasking various governmental agencies with learning more about digital assets and finding ways to regulate them for the safety of consumers. I think this was positive news that signaled the legitimacy of crypto in a way that will be productive for all stakeholders.
Practice patience
Even though it's the world's first and most valuable cryptocurrency, investors will want to adopt a very long time horizon. Bitcoin will undoubtedly experience more ups and downs on the way to possibly reaching $100,000. The smart move is to put just 1% of a well-diversified portfolio in it. This way, the downside is limited, and the upside is massive.
SPONSORED:
10 stocks we like better than Bitcoin
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Bitcoin wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of June 2, 2022
Neil Patel has positions in Bitcoin, Block, Inc., and Coinbase Global, Inc. The Motley Fool has positions in and recommends Bitcoin, Block, Inc., Coinbase Global, Inc., Goldman Sachs, PayPal Holdings, Tesla, and Visa. The Motley Fool has a disclosure policy.
https://www.msn.com/en-us/money/markets/can-bitcoin-reach-dollar100000/ar-AAYC98A?li=BBnbfcL
Today at 6:53 am by Rocky
» MM&C The Iraqi Private Banks Association told NEWS: These are the results of the Prime Minister’s me
Today at 6:52 am by Rocky
» After a break of more than 9 years.. the resumption of a government trade meeting between Iraq and A
Today at 6:51 am by Rocky
» Deputy: The general amnesty law will be passed
Today at 6:46 am by Rocky
» A change in the fuel smuggling map... “control” over the central ports and “laxity” in the north
Today at 6:43 am by Rocky
» Al-Sudani takes three urgent decisions to block the wheat mafias in Iraq
Today at 6:41 am by Rocky
» Electricity embarks on an 11-axis plan to develop the energy sector
Today at 6:39 am by Rocky
» “Thug and smuggler.” A female representative talks about a crocodile in Parliament blackmailing exec
Today at 6:37 am by Rocky
» Al-Sudani told the US State Department: Iraq is keen to strengthen its democratic system
Today at 6:36 am by Rocky
» The Central Bank sells more than $275 million at auction today
Today at 6:34 am by Rocky
» The Minister of Commerce stresses the observance of the Iraqi standard in the supply of goods
Today at 6:33 am by Rocky
» The Iraqi Trade Bank announces its participation in the process of localizing the salaries of Kurdis
Today at 6:32 am by Rocky
» Iraq adopts an advanced system to combat money laundering and terrorist financing
Today at 5:25 am by Rocky
» Increase in Euphrates River levels due to Turkish water releases
Today at 5:22 am by Rocky
» Demands the need to legislate the capital law
Today at 5:21 am by Rocky
» Parliament decided to extend the legislative term by one month
Today at 5:20 am by Rocky
» A bank participating in the process of localizing the salaries of employees in the region
Today at 5:18 am by Rocky
» Parliamentary request to the Ministry of Finance regarding defense mobilization dues/document
Today at 5:17 am by Rocky
» Dollar prices in Baghdad and Kurdistan today
Today at 5:16 am by Rocky
» Al-Rasheed decides to increase the ceiling for granting “construction” loans to 75 million dinars
Today at 5:14 am by Rocky
» A government plan to expand the construction of water harvesting dams
Today at 5:12 am by Rocky
» Frozen or banned? An Iranian official reveals the fate of Tehran’s money in Baghdad
Today at 5:11 am by Rocky
» The Iraqi Trade Bank participates in the process of localizing the salaries of Kurdistan Region empl
Today at 5:10 am by Rocky
» Finance confirms the Iraqi government's desire to benefit from the expertise of French companies
Today at 5:09 am by Rocky
» After targeting its branch in Kurdistan... Dana Gas announces a decrease in its profits to $38 milli
Today at 5:08 am by Rocky
» A parliamentary understanding to extend the legislative term to approve the 2024 budget schedules
Today at 5:08 am by Rocky
» Stopping the Commission’s procedures regarding the region’s elections
Today at 5:06 am by Rocky
» Foreign oil companies violate Iraqi laws
Today at 5:05 am by Rocky
» The position of Speaker of Parliament depends on the political agreement
Today at 5:04 am by Rocky
» The Ministry of Finance decides to send the April salary to the Kurdistan region
Today at 5:02 am by Rocky
» It did not reach the Council.. Parliament determines the mechanisms for dealing with the 2024 budget
Today at 5:01 am by Rocky
» 88 projects awaiting resolution.. What will happen to the stalled laws in Parliament? - Urgent
Today at 5:00 am by Rocky
» Al-Sudani receives the US Undersecretary of State
Today at 4:59 am by Rocky
» It did not reach the Council.. Parliament determines the mechanisms for dealing with the 2024 budget
Today at 4:57 am by Rocky
» Advisor to Al-Sudani: Sanctions on 32 private banks caused financial problems inside Iraq (video)
Today at 4:56 am by Rocky
» An expert comments on the use of the Iraqi currency in commercial transactions with Iran
Today at 4:54 am by Rocky
» Why does Iraq depend on foreign banks for dollar transfers?
Today at 4:53 am by Rocky
» Deputy: The fuel smuggling map in Iraq has “radically changed” from what it was years ago
Today at 4:52 am by Rocky
» Petroleum Products announces a decrease in gasoline imports by about 8 million liters
Today at 4:51 am by Rocky
» Government advisor: Collections will shift almost completely to electronic payment in the middle of
Today at 4:49 am by Rocky
» Complete decisions of the Council of Ministers session
Today at 4:48 am by Rocky
» Al-Sudani chairs the first meeting to restructure the government apparatus
Today at 4:47 am by Rocky
» The National University holds its second international scientific conference with the participation
Today at 4:46 am by Rocky
» Parliamentary proposals to extend the legislative term of the House of Representatives to resolve th
Today at 4:45 am by Rocky
» Hanoun: We are working on preparing a six-year strategy to combat corruption based on technology
Today at 4:44 am by Rocky
» The Ministerial Council for the Economy decides to stop the import of 6 crops due to their abundance
Today at 4:42 am by Rocky
» Minister of Industry: He turned to Chinese companies to supply Iraq with spongy iron ores
Today at 4:42 am by Rocky
» A foreign report reveals the existence of an undeclared Iraqi-British agreement regarding asylum see
Today at 4:41 am by Rocky
» “Fares Issa” visits the Ministry of Finance and Economy in the Kurdistan Region
Today at 4:39 am by Rocky
» Nechirvan Barzani: We want to address all problems with Iran and begin a new phase of relations
Today at 4:38 am by Rocky
» The position of Speaker of Parliament.. Representatives confirm: “There is no amendment to the bylaw
Today at 4:36 am by Rocky
» Demands to put an end to foreign workers
Today at 4:34 am by Rocky
» Iranian official: We do not have frozen funds in Iraq
Today at 4:33 am by Rocky
» Entering 31 countries in the world without a visa.. A look at the Iraqi passport during 2024
Today at 4:32 am by Rocky
» An Iranian plan to export goods to Iraq worth $3 billion
Today at 4:31 am by Rocky
» The Board of Commissioners decides to suspend the technical and financial procedures for the Kurdist
Today at 4:29 am by Rocky
» Baghdad Governorate approves the two paths of the development road
Today at 4:28 am by Rocky
» Mawazine publishes the full decisions of the Council of Ministers at its session today
Today at 4:26 am by Rocky
» Asaib: The Sunnis are accustomed to having an external actor leading them
Today at 4:25 am by Rocky
» The Iranian ambassador in Baghdad: The Sudanese government enjoys the support of the Shiite and Sunn
Today at 4:24 am by Rocky
» Politician: Representatives of Taqadum “hurt” Al-Halbousi and their party
Today at 4:23 am by Rocky
» “Deficit” is the password.. Parliamentary Finance decodes the budget delay
Today at 4:22 am by Rocky
» Al-Sudani: The tourism sector will be a substitute resource for oil in the coming years
Today at 4:20 am by Rocky
» Finance confirms the Iraqi government's desire to benefit from the expertise of French companies
Today at 4:19 am by Rocky
» utube 5/4/24 MM&C Iraq Dinar- IQD Update - No Float of Exchange Rate - Budget -2024 - Schedules -
Yesterday at 5:10 pm by Rocky
» After a break of more than 9 years.. the resumption of a government trade meeting between Iraq and A
Yesterday at 8:06 am by Rocky
» A deputy in finance expects the Council of Ministers to approve the budget schedules in today’s sess
Yesterday at 8:02 am by Rocky
» A deputy resolves the controversy over the “transfer supplement” in two ministries
Yesterday at 8:01 am by Rocky
» Al-Halbousi’s “vacant” seat.. Will the coordination framework end the “Taqaddum” dream of an allianc
Yesterday at 7:59 am by Rocky
» The Federal Government issues a state order to stop the Commission’s work procedures regarding the K
Yesterday at 7:57 am by Rocky
» Including the freedom to choose the bank and withdraw the salary for “free”... “My Account” features
Yesterday at 7:55 am by Rocky
» The Central Bank sells more than $250 million during its daily auction
Yesterday at 7:51 am by Rocky
» Al-Sudani receives a delegation from the Union of Arab Banks
Yesterday at 7:44 am by Rocky
» Iraq and the United States of America hold trade meetings in Washington
Yesterday at 7:43 am by Rocky
» In pictures... The activities of the Union of Arab Banks conference in Baghdad, “Day Two”
Yesterday at 7:42 am by Rocky
» The Director General of Ports announces the completion of berths (3) and (4) in Al-Faw Grand Port
Yesterday at 7:40 am by Rocky
» The Council of Ministers holds its regular session headed by Al-Sudani
Yesterday at 7:38 am by Rocky
» Parliament publishes the agenda of its session for next Thursday
Yesterday at 7:37 am by Rocky
» A government measure to reduce "money laundering" using the buying and selling of real estate in Ira
Yesterday at 7:35 am by Rocky
» Iraq proposes establishing a specialized council to combat corruption in Arab countries
Yesterday at 7:32 am by Rocky
» Al-Mawarid intends to establish infrastructure and investment projects for the water sector in Iraq
Yesterday at 7:30 am by Rocky
» The Federal Court issues a decision regarding postponing the election of the Speaker of the House of
Yesterday at 7:28 am by Rocky
» A government meeting to discuss financing and implementation mechanisms for the Development Road Pro
Yesterday at 5:12 am by Rocky
» Al-Sudani: Iraqi banks are on the right track with financial transfers
Yesterday at 5:11 am by Rocky
» Al-Khazali: The Turkish side is still imposing its conditions on Iraq
Yesterday at 5:08 am by Rocky
» Rights: We refuse to amend the bylaws of Parliament under political influence and desires
Yesterday at 5:07 am by Rocky
» Nechirvan Barzani: We want to address all problems with Iran and begin a new phase of relations
Yesterday at 5:05 am by Rocky
» Today, Iraq and Iran signed the minutes of a joint meeting related to trade
Yesterday at 5:03 am by Rocky
» KPMG International begins auditing the revenues of telephone companies operating in Iraq
Yesterday at 5:02 am by Rocky
» Oil: The seventh batch of equipment for the gas manufacturing project in the Nasiriyah and Gharraf f
Yesterday at 5:01 am by Rocky
» Al-Sudani assures the French ambassador of Iraq’s openness to “fruitful” partnerships
Yesterday at 5:00 am by Rocky
» Government move to install gold screening devices at 4 airports
Yesterday at 4:59 am by Rocky
» Sudanese Advisor: The oil sector is witnessing a rapid renaissance
Yesterday at 4:58 am by Rocky
» Opening offices specialized in employing people with disabilities
Yesterday at 4:57 am by Rocky
» Infrastructure and investment projects for the water sector in Iraq
Yesterday at 4:56 am by Rocky
» Adopting the electronic system in the next census
Yesterday at 4:55 am by Rocky
» Al-Sudani chairs the first meeting to restructure the government apparatus
Yesterday at 4:54 am by Rocky
» Business Council: Efforts to open a branch of the Chinese Bank in Iraq
Yesterday at 4:53 am by Rocky
» Iraqi diplomacy is balanced openness
Yesterday at 4:52 am by Rocky