As Bitcoin gets closer to $10,000, analysts consider that the cryptocurrency could move even higher and surpass $50,000. This is what the crypto analyst and investor Tuur Demeester believes it can happen in the future with the price of the largest digital asset. He said that during a conversation he held on YouTube with Messari, a crypto research firm.
Tuur Demeester Bullish About Bitcoin
Tuur Demeester remains bullish about Bitcoin after the halving event that took place on May 11. Bitcoin rewards for miners dropped by 50% from 12.5 BTC to 6.25 BTC per block (every ten minutes).
During the conversation, Demeester talked about the recent measures taken by governments in order to fight against the Coronavirus crisis. The United States, as well as other countries, have been printing large amounts of money over the past weeks. This could certainly push Bitcoin higher due to the fact that fiat currencies could lose value.
Moreover, he stated that it would not be strange to see Bitcoin reaching $50,000 and start being traded between $50,000 and $100,000. This would represent a price increase of 500% from the current levels, which is certainly possible considering BTC has many times increased in this way.
Furthermore, he talked about how institutions are starting to pay close attention to the market and how this could affect the price of the virtual currency. One of the main reasons why investors are purchasing Bitcoin is related to the fact that they may be searching for a market that does not follow traditional assets.
It is worth mentioning that Demeester believes that we are also in a re-accumulation phase that could push the price of Bitcoin higher if we go out from it in the near future.
“A break out of this band will likely ignite another parabolic rally,” he stated.
12 months ago bitcoin broke out of its accumulation phase, and re-accumulation started. A break out of this band will likely ignite another parabolic rally. https://t.co/uGbpqYs5s8 pic.twitter.com/T1jDZMeiNV
— Tuur Demeester (@TuurDemeester) May 18, 2020
In 2020, Bitcoin has operated in a bull trend during the first six weeks. During that time it decoupled from many indices amid the expansion of the COVID-19 virus. Meanwhile, after February 15, a new bear trend started, which lasted approximately one month. During this month, Bitcoin showed a high level of correlation with traditional assets, specifically with the stock market.
Experts considered the reason Bitcoin was linked to other traditional markets was the fact investors were seeing it as a risk asset to hold. Individuals were searching for alternative solutions that would provide safe returns.