Bitcoin Gets Massive $500,000 Price Tag From Billionaire, Here’s Why
June 04 2024 - 10:30AM
NEWSBTC
Venture capitalist and billionaire investor, Chamath Palihapitiya
has predicted that Bitcoin could witness an unprecedented price
increase to $500,000. This ambitious forecast hinges on the
potential for a bull run following Bitcoin’s fourth halving cycle,
which occurred on April 20 2024. Bitcoin To Surge To $500,000
Palihapitiya has entered a notable discussion regarding the impact
of historical halving cycles on Bitcoin’s value. The billionaire
investor shared a price analysis illustrating Bitcoin’s performance
and trend patterns following each halving event. Related Reading:
XRP Hasn’t Had A Bull Cycle Since 2017, Analyst Reveals What Will
Happen When It Does According to Palihapitiya, historically,
Bitcoin has reached new all-time highs after each halving cycle. He
highlighted a correlation between Bitcoin’s halving events from
2012 to 2024, detailing the cryptocurrency’s price actions one
month, three months, six months, nine months, 12 months and 18
months post-halving. Palihapitiya noted that during the
first three months after a Bitcoin halving event, investors are
usually still reassessing the event and its impact on the crypto
market. However, he revealed that from 6 to 18 months post-halving,
Bitcoin witnessed an exponential price appreciation, pushing it to
new all-time highs. “Bitcoin price has increased materially
following each halving, with the bulk of the returns realized
between 12 months and 18 months after the halving event,”
Palihapitiya wrote. He disclosed that 18 months after
Bitcoin’s first halving cycle, the cryptocurrency’s price increased
by 45X. Following the second halving cycle, Bitcoin rose almost
28X, and after the third halving, it surged nearly 8X. Based on
these halving patterns, Palihapitiya has projected Bitcoin’s future
value to reach $500,000 by October 2025, expecting it to follow a
similar trend as its previous halving cycles. BTC Could
Replace Gold In his discussion, Palihapitiya disclosed that by
analyzing the average patterns of Bitcoin’s previous halving
cycles, the cryptocurrency could potentially surge to a peak of
$1.4 million. He declared that Bitcoin could completely replace
gold if it reaches such levels of appreciation, emphasizing its
potential to become a digital currency with transactional utility
for hard assets. Based on the averages of the second and
third halving cycles, the billionaire investor projects Bitcoin’s
price to rise to $99,643 six months after its halving event in
April, reaching $238,623 in nine months, $362,997 in 12 months and
nearly $500,000 in 18 months. Palihapitiya also disclosed
several factors that could contribute to Bitcoin’s rise to
$500,000. He stated that the increasing demand for Spot Bitcoin
Exchange Traded Funds (ETFs) could have a significant impact on the
value of Bitcoin in 2024. Related Reading: Chainlink Is Not
Done: Analyst Predicts 300% Rise Against Bitcoin This prediction
may hold weight considering Bitcoin saw a consistent price increase
at the beginning of the year after the approval of Spot Bitcoin
ETFs by the United States Securities and Exchange Commission (SEC).
The cryptocurrency’s price exceeded $73,000 after the launch of
Spot Bitcoin ETF, officially marking a new all-time high since
2021. Featured image created with Dall.E, chart from
Tradingview.com
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