The price of bitcoin (quotation BTC) has become "boring," according to Jurrien Timmer, global macro director at Fidelity Financials. This is due to its perception of the accumulation of value over time. She suggested it on Twitter a few hours ago.
The financial specialist argues that, until recently, the price of bitcoin has often exceeded its intrinsic value on the upside during bull markets and to the downside during bear markets. This means that the cryptocurrency has been traded for an overvalued amount or sold for far less than its true cost.
A curve towards infinity and beyond
It was a game of momentum with little or no resistance until the trend reached exhaustion and we are now stuck between $ 40.000 and $ 45.000.
From the graphs, it can be seen that in recent months the price of bitcoin has stopped following the supply model that follows the supply curve, i.e. the sales force. It has adopted the pink line which represents the demand, that is the purchasing power influenced by the growth of the ecosystem.
What this means for Timmer is that while the selling model has been an effective model in the past, the demand curve will be the dominant driver of BTC in the future. In this sense, he believes that bitcoin should follow the up line. This is because he believes that as more investors understand bitcoin's value better, it will not collapse easily or take off sharply in the face of market speculation.
This could encourage its adoption among institutional investors, who are looking for more mature and stable assets to deposit their capital. If so, this could affect Bitcoin's price upward as new investments are introduced into the cryptocurrency market.
Bitcoin would reach $ 100.000 in 2023 and nearly $ 1 million in 2025, according to experts
Jurrien Timmer recalled that in the past, most investors only knew the price. But she believes that as investors understand BTC's value better, its price is less likely to resemble the early days of boom and bust: "It may start to behave like a traditional risk asset," she said.
Thus, he estimates that bitcoin could be worth more than $ 100.000 next year and nearly $ 1.000.000 by 2025, according to his greedy predictions made some time ago. Something that goes hand in hand with the fundamentalist view of other specialists who visualize that a large perceived valuation of the cryptocurrency could exponentially increase its price.
One example is economist Gael Sanchez Smith who, as CryptoNews reports, sees bitcoin at $ 100.000. Although, unlike Timmer, he believes that this target will be reached sooner, precisely during 2022 and, in a more bullish view, he believes that BTC is capable of reaching $ 3.000.000 over a longer period of time. .
