Bloomberg reports Bitcoin to rise $20k this year spurred by government money printing and covid-19. According to the company’s June Crypto Outlook report, “something has to really go wrong for bitcoin not to appreciate in value.”
Bitcoin’s maturity is fuelled by quantitative easing and the coronavirus pandemic. The report notes that “Covid-19 is hastening the shift away from paper money and stimulating plenty of quantitative easing, which is helping independent stores-of- value such as gold and bitcoin. Last year, the high was about $14,000, which would translate into almost double in 2020 if rotating within the recent band, and mean little in the big picture,” it added.
Describing bitcoin as a “resting bull”, Bloomberg highlighted that increased institutional interest, the rising number of active BTC addresses, futures markets as well as mass adoption will lead the pioneering digital asset higher.
Active bitcoin addresses, which reached a two-year high of 891,000 this year, represent increasing adoption and that will help BTC stay above $10,000, Bloomberg opined. “Unless advancing addresses abruptly reverse, history indicates bitcoin has a propensity to appreciate,” it said.
Bloomberg observed “Maturation, greater depth, and plenty more exposure via futures should continue to suppress the first-born crypto’s volatility, clearly keeping it tilted toward price appreciation,”