Jamie Dimon, CEO of JPMorgan, recently said that Bitcoin was worthless. James Gorman, CEO of Morgan Stanley, said crypto wasn’t a fad on Thursday, but he’s not sure about the price outlook.
Jurrien Timmer, Fidelity’s Director of Global Macro, is clearer on the direction for Bitcoin: $ 100,000 by 2023.
“So, this move up [in bitcoin] was created without the help of momentum hunters, which I think is a good sign as it means that something else is making Bitcoin soar. And that is the basic demand for Bitcoin and its network. When I get $ 100,000 [for bitcoin prices], that’s a conservative estimate based on the intersection of my supply model and my demand model, “Timmer told Yahoo Finance Live.
Many bitcoin bulls would argue that prices of $ 100,000 could be in the cards before the end of the year, based on recent trading activity in benchmark crypto.
Bitcoin prices have bounced back to levels not seen since May this year, amid hopes of greater institutional acceptance and the potential for the SEC to sign new Bitcoin ETFs soon. At $ 57,000, Bitcoin prices are up about 80% from late July lows fueled by global regulatory fears. Bitcoin prices rose nearly 18% in October alone.
Bullish movements can also be observed in other cryptos. Shiba Inu and Ethereum are up 328% and 12% respectively over the last month.
Timmer warns that just because the bulls have recaptured crypto lately, prices won’t go up every day. Crypto could still be volatile as it remains a very headline-driven market, especially in terms of likely regulation.
“I think it will be resolved [regulation] over time and will be positive because it legitimizes the space. But there is volatility that I believe will not go away because it is a characteristic of price inelasticity, “added Timmer.
Brian Sozzi is an editor and Anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and further LinkedIn.
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