By
Chimamanda U. Martha
April 24th, 2024
Venture capitalist and billionaire Tim Draper confirmed his belief that Bitcoin should reach $250.000 by 2022.
Back in April this year (when Bitcoin was more than $8.000), the crypto enthusiast had, during his reality show “Draper Block(chain) party”, predicted that Bitcoin will continue it’s bullish growth. Already then, this sounded pretty optimistic as investors were crying over the 50 percent drop in the price at the beginning of the year. Still, even though the price continued to fall, crypto industry was still expanding.
At the Crypto Invest Summit in Los Angeles, Draper said that he believes that individuals had the potential to “start their own government”, where social security could be ensured more efficiently and effectively. He added that he believes that Bitcoin will be among the top five currencies from the “$86 trillion” evaluation.
Draper said:
“So right now, there’s $86 trillion of political currency. They call it ‘fiat’ currency, but it’s political. And I believe that that currency will slowly be eaten up by a better currency which is global, decentralized, frictionless. It’s just better currency. Bitcoin’s a better currency. And I think Bitcoin will be one of five [cryptocurrencies].”
Bitcoin is Secure and Has Never Been Hacked
Crypto communities took this like sort of a prophecy and it’s not strange if we consider the fact that Draper already has an impressive track record with predicting bitcoin price movements. In 2015, he accurately predicted that bitcoin would top $10,000 by the end of 2017. Just for a reminder, BTC grew above $13,000 on December 31, 2017.
In an interview he gave to The Street, he says that people can have complete trust in Bitcoin even though it uses a lot of energy.
“What’s great is that when you buy some Bitcoin or you move something on a block, it is secure and you know that all those people and all those computers are making sure that that block was moved properly. There are plenty of hacks around the crypto-world but the Bitcoin blockchain has never been hacked and you know, knock on wood, we don’t think it ever will be. I think that having that consensus brings an extra boost to confidence. In fact, I am more confident in my Bitcoin than I am in the U.S. dollars in Wells Fargo.”
Draper confirmed that SEC’s decision about regulating cryptocurrencies is extremly important, He is confident that SEC will not follow China’s steps. He is known to admire Japan for recognizing Bitcoin as a legal currency.
“The United States is open for business! We intend to compete to retain the world’s best innovators. I think the SEC is torn and I think it’s it’s okay because they’re torn between like going after the fraudsters who are taking advantage of the elderly, and making sure that all that technology does stay in the US. They know that it’s a competitive world out there.”
For sceptics around, he compares the cryptocurrency with the beginning of the Internet itself claiming that the way blockchain and cryptocurrencies are behaving at the moment resemble that of internet a few years back before the technology took the world by storm.
He added:
“The internet started in the same way, it came in big waves, and then it came crashing down, and then the next wave comes concentrated but much bigger, and I suspect the same thing will go on here, with bitcoin”.
Market Capitalisation to Expand by 5,000%
However, Nigel Green, founder and CEO of deVere Group, one of the world’s largest independent financial advisory organisations, which launched deVere Crypto, the pioneering cryptocurrency app earlier this year, forecasted that the next decade will be not the same for the cryptocurrency. He points out that, although Bitcoin has irrevocably changed the traditional financial system, its price is expected to “drastically reduce” in the next 10 years, while the entire market capitalisation is going to expand by 5,000% before 2028.
On the other hand, hedge fund manager, Mike Novogratz claimed that Bitcoin could reach $10000 by the end of the year.
He said:
“One thing you learn in this process is that everything takes a little longer than you hoped it would. I don’t see us breaking $10,000 by the end of the year.”
The host of the CNBC’s Crypto Trade show Ran Neuner said that he believes the Bitcoin consolidation is almost over and it’s ‘about to explode’. Approval from the SEC, thinks Neuner, could trigger Bitcoin price surge raising it exponentially. Also, he adds, the approval of Bitcoin ETF would be a much bigger news than the Bitcoin futures. This would, in turn, lead to a flood of institutional money flowing into the market.
This year’s Halloween marked the 10-year anniversary of the foundations of bitcoin, the world’s first cryptocurrency. If Draper is right and the Bitcoin comes to the price of $250,000 within the next four years, that means that the market cap will be around $5.25 trillion.