Tesla investor Yassine Elmandjra says that Bitcoin’s market capitalization could reach USD 1 trillion within ten years. The number of investors will be responsible for this growth of the best performing cryptocurrency of 2020.
Tesla’s investor Yassine Elmandjra considers that Bitcoin will have a market capitalization between USD 1 trillion and USD 5 trillion in a period of 5 to 10 years. Many describe this analysis as exaggerated, but the analyst firmly believes in his arguments.
After the Bitcoin halving that occurred last May, the value of Bitcoin did not explode as many expected. On the contrary, it has remained in a band not very different from that of before the reduction by half.
The price of the main cryptocurrency has shown itself as a roller coaster throughout 2020. After the third halving, Bitcoin had a period of low volatility of several months. However, the price has not been able to consolidate.
Bitcoin Will Be Different in Ten Years
The experienced investor, Elmandjra, states that the value of Bitcoin will be high in less than ten years. The large number of investors who turn to the cryptocurrency as a store of value will make its market capitalization soar, argues the investor.
The unprecedented spending in printing money by the State is a consequence of the economic crisis that the COVID-19 pandemic brought with it. Amid this situation, many investors fear that the US dollar may have an inflationary escalation.
However, many analysts are certain that the coronavirus pandemic did not cause the current crisis, but simply accelerated it. In this sense, Elmandjra states that Bitcoin’s market capitalization will reach between USD 1 trillion and USD 5 trillion within five and ten years.
Everyone Should Acknowledge It
Elmandjra also says that, for their good, investors should not ignore Bitcoin. He explains that it is a digital currency that ensures high returns and security, so no investor should overlook it as an asset class.
Despite Bitcoin’s ups and downs, it was the best asset of 2020. When reviewing its performance/behavior, its numbers have been prominent not only this year. Everyone can be certain that it has been the best performing asset of the last decade.
“Bitcoin is in an early stage on its way to monetization with potential for substantial appreciation,” Elmandjra says. He adds that, within ten years, Bitcoin will cease to be a curiosity for hundreds of millions of people, and will become a reality of everyday life.
Some Obstacles in This Path
Besides, the investor considers that Bitcoin’s path to becoming the king of assets is not without obstacles. He claims that there is an uncertain regulatory future that may jeopardize the development of the massive market capitalization that Bitcoin is moving towards.
In recent weeks, there were some threats to a huge market capitalization of Bitcoin within ten years. Among them are the prosecutions by US justice agencies against cryptocurrency exchange firms such as BitMEX.
However, the picture of the future that Elmandjra has painted seems to be very secure for Bitcoin. It may not only consolidate its price but also an increase in market capitalization.
By Willmen Blanco
