According to a recent statement issued by Mr. Cameron Winklevoss, the co-founder of Gemini Exchange, the price of Bitcoin could soon hit between 30 to 40 times the value it currently enjoys.
On the 7th of February 2018, Bitcoin recorded $135 billion as its market evaluation. This came after the price of this leading Cryptocurrency recovered from the fall it has been experiencing in the past few weeks.
Is Bitcoin a ‘Better Gold”?
While speaking to CNBC, the co-founder and the current Chief Executive Officer of Gemini Exchange said that he strongly believes Bitcoin puts off gold, especially when placed in isolation and other assets are also put aside. Based on the characteristics that a currency should have, Mr. Winklevoss feels that Bitcoin is a better gold. One of the features that give the gold its precious values is scarcity, which Bitcoin has exhibited over the past few weeks.
Since Bitcoin is fixed in its supply, it becomes much better than gold. Besides that, the Cryptocurrency is very durable, fungible and also easy to carry around than other exchange currencies.
Looking at all these characteristics, this expert believes that Bitcoin is much better than gold in almost all aspects.
The Market Cap is a Buying Opportunity
At the moment, Bitcoin has a market capitalization that is valued at over $100 billion, and just in the few past weeks, the value might have been close to $200 billion. This is one of the factors that make Bitcoin a buying opportunity. Mr. Cameron again referred to the gold market that currently enjoys a market capitalization value of $7 trillion. The market cap that Bitcoin has at the moment indicates that there is a great appreciation that is approximated at between 30 to 40 times, especially looking at how it has fallen and risen. A number of people have therefore begun to appreciate the store of value properties that the crypto-coin has.
According to Cameron Winklevoss, the price moves that Bitcoin may experience in the coming days might not change much. He observes that Bitcoin will still remain one of the most underappreciated assets that are currently on the market.
$5 Trillion Value is a Possibility
According to the calculations by Mr. Cameron Winklevoss; the value of this leading virtual currency by market cap is expected to grow high in the coming years. He predicts that in the next ten or twenty years, Bitcoin could have $5 Trillion as its market value. This is something that many opposed based on its current market cap of $135 billion and how bad the market has grown in the last few days. But even with a relatively low market cap value of $100 billion, the value of this crypto coin would still shoot to around $4 trillion if there were a forty-times price appreciation as Cameron had predicted.
The price of Bitcoin, as recorded at the close of business on Wednesday, 7th February 2018 was $8,114.39. A look at its main market competitors; Ripple and Ethereum at the same time revealed that they were valued at $0.76 and $817.04 respectively.