Bloomberg Analysts Foresee A $50,000 Bitcoin In 2021

There have been many vocal analysts predicting a lot about the future of cryptocurrencies. In the latest cryptonews today, we report about Bloomberg, and how the Bloomberg analysts foresee a $50,000 Bitcoin (BTC) with a $1 trillion market cap in 2021.

In times when BTC’s fundamentals are stronger because of the quick 2020 rally, analysts are saying that the coin has a major potential to go above $50,000 next year. As they said, BTC would double down on its bullish performance next year and “top up the $50,000 level,” justifying the optimistic price prediction by the growing adoption and the institutional interest, both of which led to a “firmer” foundation than the 2017 BTC rally.

With a massive roll during most of 2020, the major cryptocurrency is seeing its best days of the year now. Despite the vicious drops during the mid-March liquidity crisis, the value of this coin has expanded by more than 160% year to date. This is why the Bloomberg analysts foresee a bright future and a situation that “will only intensify in 2021” leading to a market cap of $1 trillion. As they said in their December BTC report:

“Bitcoin will maintain its propensity to advance in price into 2021, in our view, with macroeconomic, technical, and demand vs. supply indicators supportive of $50,000 target resistance, implying about $1 trillion market cap. The $10,000 mark has shifted to a critical support level after serving as the crypto’s resistance mark since 2017.”

What is worth noting is that the popular stock-to-flow model predicted a similar price tag by the end of 2021, and the most modest forecast of this model sees the dominant coin topping $55,000 in the next 12 months.

Even though BTC still has its price high set in 2017, everything can change and the community has been speculating and comparing the 2020 rally too, but the general conclusion is that “this year, things are different.”

So, the Bloomberg analysts foresee a bright future. They also noted that Bitcoin has matured in the past three years, making them assume that it is going to “keep on appreciating but at a slower pace.” They also breached the 2020 halving, which saw the rewards miners receive slashed from 1,800 coins per day to 900.

MicroStrategy has purchased approximately 2,574 bitcoins for $50.0 million in cash in accordance with its Treasury Reserve Policy, at an average price of approximately $19,427 per bitcoin. We now hold approximately 40,824 bitcoins.https://t.co/nwZcM9zAXZ

— Michael Saylor (@michael_saylor) December 4, 2020

Reports also show that companies such as  MicroStrategy and Square have already poured millions of dollars in Bitcoin.