The price of bitcoin is able to rise to $ 115,212 by August 1, 2021, analysts at the crypto investment company Pantera Capital say.
“I would not bet all my savings that this will actually happen, but I think it is possible, and the pace is right now for this,” Dan Morehead, founder of Pantera Capital, said on television.
Analysts point out that Bitcoin is following the trajectory they outlined in their letter back in April last year, discussing the possible impact of halving on the price of the first cryptocurrency.
“Bitcoin follows the forecast exactly. Our analysis was based on comparing the new supply of bitcoin with the available one during each halving and the subsequent impact on the price, ”the letter says.
This is how they saw the price of bitcoin last year on the 15th of every month:
In the summer, the gap from the Pantera forecast was up to 15 weeks, however, the latest leap in Bitcoin led to the fact that in mid-January the real situation began to outstrip the hypothetical.
And the following are the Bitcoin charts after each halving, including the last one:
Analysts note that historically, Bitcoin reached a minimum 459 days before the halving, began to grow before the event itself, and rapidly gained momentum after it. The rally after a halving to a bull market peak typically lasts 446 days.
“If history repeats itself, Bitcoin will peak in August 2021,” the letter said.
The authors also state that the current rally is different from the 2017 boom, as there has been a shift away from non-functioning highly speculative tokens in favor of proven Bitcoin and Ethereum. Now the last two cryptocurrencies account for about 86% of the market, whereas in 2017 their share was about 50%.
“By the end of 2017, 50 white papers were published a week. Of course, it is impossible to put forward 50 ingenious ideas every week, ”says Pantera Capital.
At the same time, the investment director of the firm, Joey Krug, states that Ethereum, given all the activity taking place in its network, is undervalued relative to Bitcoin:
“Bitcoin dominance has recently climbed above 70%, which is in line with the highs of the range of recent years. As the bull market continues, we expect people to shift some of the profits from Bitcoin to Ethereum. Additionally, when ETH futures are launched on the Chicago Mercantile Exchange (CME), it will become the rationale for Ethereum as an asset available to institutional investors. We maintain very bullish expectations for Ethereum. “
The following motives, according to analysts at Pantera Capital, will have a positive impact on their funds in 2021:
- Unprecedented money printing;
- Extremely accommodating / negative interest rates;
- Continued growth in institutional participation;
- Development of decentralized finance.
Over the past year, the Pantera ICO fund showed a return of 504%, the bitcoin fund – 299%, the digital asset fund – 291%. Since its inception, the Pantera Bitcoin Fund has raised over $ 134 million. The company’s funds are open to accredited investors.
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