Bitcoin price breaks new record: 100,000 USD this year?
Bitcoin (BTC) has regained the 50,000 US dollar mark and reached a new high. Even Bitcoin critic Peter Schiff no longer rules out a price of 100,000 US dollars. Market update.
After the Bitcoin price exceeded the threshold of 50,000 US dollars (USD) for the first time on 16 February, there was subsequent profit-taking. Now BTC has conquered the psychologically important mark once again – and set a new price record at USD 50,900.
Since the US company Microstrategy announced its Bitcoin coup in late summer 2020, the number of imitators has been piling up. In particular, Elon Musk’s decision to invest part of Tesla’s reserve in BTC had recently given the bitcoin price a fresh boost. Microstrategy itself announced new Bitcoin purchases on 16 February, as BTC-ECHO also reported.
Nevertheless, Bitcoin scepticism still seems to prevail Bitcoin Up among most financial managers in the economy. According to a recently published survey by the market research company Gartner, only 5 percent of the CFOs surveyed can imagine investing in BTC with their company in 2021. Among the 77 finance executives surveyed (including 50 CFOs), 84 per cent cited the large price fluctuations in Bitcoin as the biggest inhibitor that makes them shy away from investing in digital gold.
Eighty-four per cent of respondents said Bitcoin’s volatility posed a financial risk. It would be extremely difficult to mitigate the kind of price fluctuations the cryptocurrency has experienced over the past five years.
Alexander Bant, chief of research at Gartner Finance
Thirty-eight per cent of respondents also criticised Bitcoin’s slow adoption as a payment method.
Still: 16 percent plan to hold BTC one day. Five percent want to get into Bitcoin as early as 2021. Only one per cent have such intentions for the period 2022-2023. Nine percent are not considering a BTC investment before 2024.
Companies from the technology sector in particular are bullish. Every second company is planning a bitcoin investment. Against the background that with Microstrategy, Square and Tesla, technology companies in particular have discovered BTC as a reserve asset for themselves, this seems logical.
Bitcoin rally brings record profits
One thing is certain: The overwhelming majority is doing a good business with Bitcoin at the moment. The average net profit on BTC transactions is at a level that makes even the bull run of late 2017 pale into insignificance. This is shown by data from blockchain analytics service provider Glassnode.
The metric „Net Realised Profit / Loss“ indicates the profit or loss of all coins moved at the respective point in time. The largest net gain occurred on 7 January, when the USD 40,000 mark was broken for the first time.
BTC: Already at USD 100,000 by the end of 2021?
Even if many companies are still sceptical, the balance sheet so far clearly speaks in favour of BTC. In particular, the stock-to-flow analysis (S2F) has so far proven to be a useful model for classifying the bitcoin price. The stock-to-flow model puts the quantity of BTC in circulation in relation to its creation quantity over a certain period of time. The crypto analyst PlanB has worked out a connection between the four-year halving of the creation rate (Bitcoin halving) and the long-term price development.