Bitcoin’s $1 Million Price Forecast Is Driving People Nuts

Bitcoin’s $1 Million Price Forecast Is Driving People Nuts

Analysts expect Bitcoin to hit 20k again this year, then 300k by 2030, and finally to the moon. Suddenly everyone wants a piece of the cake!

Photo by André François McKenzie on Unsplash
There are many people who have made bold forecasts on Bitcoin price. Screenshots by Author

All these wild Bitcoin price predictions you see screaming all over the internet are focused on one thing.

Adoption.

Without adoption, the future of Bitcoin and other cryptocurrencies is doomed.

And that’s where you come in.

So far, early adopters of Bitcoin and cryptocurrency, in general, have done a really good job.

As of writing, BTC was ranging at around $9,350.

BTC chart on Binance on July 22. Screenshot by Author

And that’s a pretty impressive performance, considering BTC had plummeted to $3,782 when the United States went into lockdown after the initial surge in Coronavirus cases early March.

When BTC price nose dived on March 11, $BTC/USD perpetual contracts crashed even further to $3,621. Screenshot by Author

But if Bitcoin ever hits such bold targets, it must first become mainstream by winning the hearts of ordinary Joe and plain Jane, who are currently in love with the Dollar.

But can such people ever be rescued from their obsession?

Dollar vs the Classical Gold Standard vs Bitcoin

Photo by Viacheslav Bublyk on Unsplash

Americans take much pride in the Dollar. The rest of the world, not so much.

But the Dollar remains king of paper-money and has done pretty well over the past 70 years.

Consequently, many people believe the dollar is the greatest political development to have happened in the United States in the past century.

They believe so because that’s what they are told.

And this is why the world watched in awe as the Federal Reserve revved up its printing press in March to stave off a financial crises caused by the Novel Coronavirus.

Trillions of dollars have been printed out of thin air in what has been popularized as “QE infinity.”

The Fed has gone ahead and used the new Dollars to buy unlimited debt and mortgage-backed securities.

People in other parts of the world can only wish their governments also had the same abilities.

Its unimaginable the amount of faith people have in the government’s power to declare paper to be legal tender.

People have had the same feelings for Gold, just that the faith, in this case, connects to the rarity of the precious metal and a 2000-year-legacy. But the Gold Standard is long gone.

Before 1933, the US was on the Gold Standard and the Fed could only print Dollars after buying more Gold.

Economists firmly believe being on the Gold Standard should theoretically hold government overspending and inflation in check because the Gold supply grows slowly.

“Most people today see the economic problems we face as the result of high interest rates and a “shortage of money,” yet the high interest rates are merely symptoms of an untrustworthy currency. When one deals with currency that has no predictable value and in the long run is steadily depreciating, a shortage” will always occur. The shortage, however, is in purchasing power and trust, and not in nominal dollars. Ironically, the more dollars created to satisfy this “shortage,” the greater is the loss of purchasing power and trust”. Ron Paul and Lewis Lehrman in The Case For Gold.

It’s 38 years since Ron Paul and Lewis Lehrman published The Case For Gold.

They have had hopes that the book will prompt more people to demand the establishment of a new monetary order.

It’s obvious the plan went haywire as fewer people understand money today.

Bitcoin, a recent development in the world of money, is even more misunderstood.

The cryptocurrency has been around for a decade. Its price volatility has caused widespread social skepticism during this short time.

Notwithstanding the fact that Bitcoin has huge advantages and could solve many problems created by political paper-money.

Wild BTC Price Projections

Screenshot by Author

The Dollar and other currencies remain topics of active and emotive debates.

Everyone wants their national currency to be the best in the world.

But when people get emotional about a currency, according to Ron Paul and Lewis Lehrman, nobody is happier than the powerful forces, whose interests are served by the continuation of the present system clinging tenaciously to a monetary system that no longer has any foundation.

“This report makes the point that we need not return to a gold standard — which had many shortcomings — but we can learn from the mistakes of the past, improve upon past systems, and go forward to a modern gold standard.” The Case For Gold.

It's without a doubt that the two authors were not referring to a modern Gold Standard in the form of cryptocurrency, but it’s what the world has offered after nearly four decades.

And Bitcoin is fighting hard to become the modern Gold Standard.

But the past 10 years have been rough for Bitcoin, proving that people are still willing to bet all their stakes with national currencies.

Also, Bitcoin’s sovereignty means there is no government or an institution like the Fed to give it credibility.

Unlike its formidable competitors (Dollar and Gold), Bitcoin has had to rely on decentralization, the immutability of the blockchain, and price volatility to build a following.

But as time has proved, very few people care about such qualities in money.

And it would be safe to assume that the majority of people don’t care about Bitcoin because they are unaware of the negative impact that paper-money has had on their lives in its current form.

Hence the wild BTC price projects.

And the reason for this is simple.

You talk to people in a language they understand.

Want to make anything attractive? Add a 6 figure price tag

Without a doubt, Bitcoin is by far one of the best-performing assets of 2020.

Bitcoin.com wrote in the Crypto Research Report, June edition, that the target addressable market for all cryptocurrencies today is approximately $212 trillion, led by Bitcoin.

Credit to the Bitcoin proponents, who have tried many tactics to drive adoption over the past decade, even though those tactics have only appealed to a small fraction of the global population.

But continuously making audacious claims that Bitcoin could hit $100,000 to $1 million in five years is a silver bullet that hasn’t gone unnoticed.

This could finally bring the larger crowd into submission because FOMO (fear of missing out) is real.

Disclaimer: The writer holds a very small bag of Bitcoin.

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Bitcoin’s $1 Million Price Forecast Is Driving People Nuts was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.

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