As Live Bitcoin News discussed earlier today, bitcoin is once again entering bullish territory. While this is something to be happy about, it’s not quite where we’d like it to be, and things can always be doing a lot better. In other words, the asset is bullish, but not so bullish.
Bitcoin Will Strike Golden Territory
Still, that’s not stopping some analysts and crypto platforms from making wild and over-the-top predictions about where bitcoin’s price will be at the end of the year. The currency is on the verge of hitting the $11,000 mark for the umpteenth time in the last few months, but according to a new report from cryptocurrency exchange Deribit, the asset could potentially enter the year 2021 at $36,000.
Over the past several weeks, Deribit claims that investor interest in bitcoin and cryptocurrencies has increased tenfold. This could potentially be due to several factors, a big one being the state of the global economy. Several fiat currencies, including the U.S. dollar, have been marred by harsh conditions that have caused inflation and other problems for standard financial tools and platforms, and many are now seeing cryptocurrencies – bitcoin in particular – as hedges against these sorts of circumstances.
Many view BTC as a form of digital gold. Something that can protect their wealth and keep their money safe during scary times. There is no need to lose all of one’s cash when one has bitcoin or gold as part of their portfolios.
Deribit is witnessing this sudden change in attitude amongst most investors. They see bitcoin in a much more positive light. Executives at the exchange are likely convinced that this going to factor into the price of the world’s number one cryptocurrency by market cap within the next three months.
CCO of Deribit Luuk Strijers explained in a recent interview:
We saw some out of the ordinary activity in the $36,000 December call. Few buyers with most likely bullish expectations executed these trades.
Is This Really Possible?
As much as we would like to believe that bitcoin is capable of anything, however, it is a little hard to digest the idea that bitcoin will more than triple its price within the next three months. Deribit is calling for a $36,000 price by the time we’re in December. Right now, bitcoin is trading for around $10,700. This means that the asset would need to add approximately $26,000 to its price within 12 weeks to hit this goal and make the exchange’s prediction come true.
Is it possible? As we’ve seen in the past, bitcoin is capable of many fantastic and unexpected things. After all, the asset rose from about $1,000 to $20,000 within the course of 12 months in 2017. Still, it took the entire year. The exchange is now giving bitcoin three months to accumulate even more value than it did before.