Jihan Chu, Kenetic Capital co-founder, in an interview with Bloomberg has made a prediction on Bitcoin’s price tag by the end of the year. According to Chu, Bitcoin will hit a high of $30,000 by the end of the year.
He went on to give three reasons for his bullish sentiment. The analyst cited the upcoming halving, major companies such as Facebook and Fidelity embracing cryptocurrencies and the recent disappointments of tech IPOs. If Bitcoin is to achieve this, it will have tramped its all-time high of $20,000 and set a new one.
In addition to his three major reasons, Jihan Chu stated that adoption is ever growing. He stated:
“Ten years out from the bitcoin story, and we are starting to see the story become a reality. and what people are really seeing now is that cryptocurrency is not going away”
When it comes to major companies adopting Bitcoin, he stated:
“You don’t have to take my word for it. It’s Facebook, it’s Jamie Dimon, it’s Rakuten, it’s Fidelity. All are getting in the space either in building the infrastructure or providing services. That’s going to drive mining share and adoption.”
After Lyft and Uber public offerings, Chu believes that tech IPOs have become boring and disappointing and investors are looking into new investment ventures. He explained:
“With the disappointment of Uber and Lyft IPOs in the market, people are looking for a different type of tech story, and one that’s perhaps accessible to all.”
Lastly, Jihan Chu touched on the upcoming Bitcoin halving which is expected in 2020. This is designed to see the reward for mining bitcoin halved. Historically, this event has seen prices soar as supply continues to drop.
While some might have thought the trigger that sees Bitcoin reach all-time highs might be the approval of an ETF, Jihan Chu says that Bitcoin will achieve this, with or without the approval of an ETF.
“To be honest, I’m not waiting with baited breath on an ETF being listed anytime soon.”
He continues to state that it will be the adoption of major companies that will drive prices rather than the approval of an ETF.
Bitcoin (BTC) Price Update
Bitcoin at the time of press is exchanging for $8,726 with a minor correction happening in the last couple of hours. The $9K remains the primary target for the bulls as they look to cross the $10K position before the next major correction.