Bobby Lee: “The price of bitcoin will exceed $ 20,000 by the end of the year”

A member of the board of directors of the Bitcoin Foundation told what will happen to the rate of the first cryptocurrency in May and at what pointshe will set a new historic high.

The Bitcoin exchange rate will update the historical maximum,probably by the end of the year and then rise to $ 25,000, said the head of the oldest Chinese cryptocurrency exchange BTCC and member of the board of directors of the Bitcoin Foundation, Bobby Lee, in an interview with Cointelegraph. According to him, the main driver of growth will be halving, because this is the first reduction in the reward for the extraction of a coin that happened after it became mainstream.

“The fact that this is the first halving afterBitcoin has become a major investment tool for many people, further increasing the potential increase in the price of a coin compared to 2016, ”said Bobby Lee.

He predicted that the first cryptocurrency in Maycan go up to $ 10,000. In addition to reducing the reward for finding a block, this will help the flow of capital from investors who are beginning to perceive Bitcoin as a defensive asset, the entrepreneur believes.

Confidence in the rise in price of bitcoin in the backgroundHalving was also expressed by Morgan Creek Digital co-founder Anthony Pompliano. After reducing the reward for mining, the coin supply will be reduced by half, respectively, and demand should fall by the same amount so that the price remains unchanged, the investor explained.

The argument of "the Bitcoin halving is priced in" is dumb.

If incoming daily supply drops 50%, then you would need a 50% drop in daily demand as well to keep the same price.

Good luck if your thesis is built on the idea that demand for Bitcoin is going to drop 50%.

— Pomp ? (@APompliano) April 6, 2020

“The argument that halving is already included in the priceBitcoin is untenable. If miners throw coins into the market by 50%, they will also need to reduce demand by 50% in order to maintain the same price. Good luck if you think that the demand for bitcoin will be halved, ”Pompliano wrote in his Twitter account.

In November, Bobby Lee suggested that by 2028Bitcoin value will increase to $ 500,000, and then to $ 1 million, overtaking gold in terms of capitalization. But the head of Euro Pacific Capital and Peter Schiff called this forecast "nonsense", which plays into the hands of only major players.

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