Just How Realistic Is a Bitcoin Price Target of $100,000?
There has been a lot of Bitcoin (CRYPTO: BTC) exuberance lately, with Bitcoin up more than 15% over the past week, and almost 70% for the year. Bitcoin now trades at almost $28,000, and accounts for a staggering 46% of the total market capitalization of the $1.2 trillion crypto market. Everyone, it seems, wants a piece of Bitcoin these days.
Perhaps not surprisingly, given all this bullishness, some tech insiders are now predicting that Bitcoin could hit $100,000 soon, perhaps within the next 12 months. That includes Apple co-founder Steve Wozniak, who recently suggested a price of $100,000 was possible. But just how realistic is this price target? After all, Bitcoin's all-time-high is $68,789.63, and that was at the peak of the bull market in tech. Here's a closer look at several factors to keep in mind if you're expecting Bitcoin to soar by the end of the year.
Until recently, the primary factor influencing the future price of Bitcoin was the Federal Reserve and the path of U.S. interest rates. Thus, for Bitcoin to continue its extraordinary ascent, it seems that it's going to need some help from the Fed. If the Fed pauses its interest rate hikes, or even decides to lower interest rates, that would be very bullish for Bitcoin.
Source Fool.com
