The Bitcoin price is no longer exploding, it is only growing rapidly. After the digital currency has hit record highs since the beginning of August and was worth $ 3000, 3500, 4000 for the first time, the rise has picked up a somewhat moderate pace this week. And yet the Bitcoin price is already approaching the next decisive milestone: As of Thursday afternoon, a Bitcoin cost $ 4,490, so the $ 4,500 is within reach.
The Bitcoin rally was triggered because the currency split survived on August 1 without destabilizing. In addition, the implementation of an important technical upgrade, the Segwit2 update, is also proceeding successfully. With “segregated witness”, certain data is no longer stored in the Bitcoin transaction, but rather separately. One of the advantages is that it allows a block to store more transactions – so far this has been the bottleneck that slowed Bitcoin payment.
Smart arguments for price forecasting
The relief from the successful technical steps has fueled the Bitcoin euphoria, which in turn arouses the interest of potential investors. Who would not like to earn money on such dream returns?
However, there are two questions in the face of the rally: How long will the Bitcoin high continue and how hard will the crash be if it comes? No wonder, because of the great interest many analysts and experts are trying to get an accurate answer. And mostly they have smart arguments.
Bitcoin price at $ 100,000 in five years
For example, the number of $ 100,000 has been placed in the room in recent days. Bitcoin is said to be worth so much in five years, Harvard researcher Dennis Porto told Business Insider. He calculated this sum based on Moore’s Law.
This law goes back to Intel founder Gordon Moore, who uses it to describe the exponential increases in digital technologies – for example, the increase in storage capacity for computer chips. It says that its capacities will double within a certain period of time. Anyone who knows this period can predict future developments.
The application of Moore’s law to price developments is new, but according to Dennis Porto it has so far been applicable. Accordingly, the Bitcoin price has so far doubled every eight months. He assumes that this doubling rate will continue. By February 2021, a Bitcoin would be worth $ 100,000.