Bitcoin to Hit $500,000 Per Coin or Fail
Experts at Bloomberg L.p, one of the world’s leading financial, software, data and media company with headquarter in Midtown Manhattan, New York City, has predicted that the world’s leading cryptocurrency Bitcoin could hit $500,000 per coin and become the world’s digital gold given its new gold-like characteristics.
The experts posit that Bitcoin limited supply capped at 21 million coins and rising demand supported by macroeconomic would bolster the cryptocurrency to the same market capital of gold at $500,000 per coin. Or it could fail.
Also, the declining volatility in the once-troubled unregulated digital coin was highlighted as one of the key factors that it has gradually adjusted or adjusting to traditional assets. This, the experts said shows Bitcoin is gaining an upper hand against equities and gold.
“The rapid increase in tradable, mostly speculative coins indicates the supply, competition and ease-of-entry overhangs for broad market prices,” they stated.
Speaking on Bitcoin’s similarity with gold’s price action, the experts said the price of the coin should keep appreciating for similar macroeconomic reasons that help gold.
“The primary attributes that underpin the price of gold and Bitcoin — limited supply, store of value, diversifier and quasi-currency — will persist in a world of unprecedented quantitative easing, in our view. The benchmark crypto has won the adoption race among myriad copycats and is maturing into a digital version of gold,” Bloomberg analysts explained.
Accordingly, they noted that “Like the metal, the benchmark crypto’s bull-market has corrected sharply and had a period of disdain. Fundamentally and technically, a Bitcoin base for recovery is firming, but the broader crypto market appears driven more by speculative excesses.”
In a 12 months chart, they explained Bitcoin-gold correlation. They said after advancing to as high as $11,400 per coin and $200 billion market capital just in about 11 years of existence that the first cryptocurrency is now consolidating gains and being pulled along by gold in 2020.
They added that “We see little to halt the “gold higher, Bitcoin following” pattern, other than normal bull-market nuances of back-and-fill from extended levels. Old resistance about $10,000 is now good Bitcoin support.”
Pizza Hut Joins Burger King, Church’s Chicken to Accept Crypto Payments in Venezeuela
Pizza Hut has joined other global fast-food chains like Burger King and Church’s Chicken already accepting crypto payments in Venezuela.
This was confirmed by a crypto services firm, CryptoBuyer, on November 27 after pizza Hut stores in the South American nation partnered with Mega Soft to drive adoption in Venezuela by encouraging crypto payments in its over 20,000 shops and businesses in the country.
“Pizza Hut nowadays cannot be detached from these technological advances and all those incorporating new approaches for daily necessities,” said Richard ElKhouri, General Director for Venezuelan operations of the pizza chain, in an interview with local news outlet ElAxioma. “It is important that we accommodate young people, modern adults, and people technologically knowledgeable.”
According to Elkhouri, customers can buy pizza with Bitcoin (BTC), Litecoin (LTC), Dash (DASH), Binance Coin (BNB), Binance USD (BUSD), Ether (ETH), Tether (USDT), Dai (DAI), and its native token XPT.
This will further help deepen cryptocurrency adoption in the country and across the South American region.
Bitcoin Rebounds; Gained 7 Percent to $18,116 Per Coin Amid Renewed Demand
Bitcoin recovered most of its lost ground in the last 24 hours after dropping about $3,000 from $19,400 it exchanged a week ago to $16,800 per coin.
The world’s most dominant cryptocurrency gained 7.01 percent to close at $18,116.31 per coin on Monday morning at 8:46 am Nigerian time.
Investors jumped on the digital currency after Guggenheim Funds Trust filed an amendment with the U.S. Securities and Exchange Commission to allow its Macro Opportunities Fund to invest as much as 10 percent or $500 million of its $5 billion net asset in Bitcoin through Grayscale Bitcoin Trust (GBTC).
The news bolstered Bitcoin attractiveness as cryptocurrency investors interpreted as a new capital inflow that could aid the coin above the $20,000 per coin obstacle or resistance.
According to the amendment filed: “The Guggenheim Macro Opportunities Fund may seek investment exposure to bitcoin indirectly through investing up to 10% of its net asset value in Grayscale Bitcoin Trust (“GBTC”), a privately offered investment vehicle that invests in bitcoin. To the extent the Fund invests in GBTC, it will do so through the Subsidiary.”
Cryptocurrency: Facebook Owned Libra to Launch Stablecoin in January 2021
Facebook Inc led Libra Association is planning to launch Libra stablecoin pegged to only the United States Dollar as early as January 2021, according to three anonymous people quoted by the Financial Times.
The stablecoin was initially proposed to be pegged to a basket of multiple currencies before the group faced several setbacks after the US parliament pressure Facebook on data breach and other issues that allegedly allowed Russia to meddle in the 2016 US presidential election.
The social media giant has now cut down on its ambition to focus on US dollar-pegged stablecoin in an effort to reduce regulatory bottleneck.
PayPal Inc., one of the first members of Libra Association that pulled out after regulators increased scrutiny on Facebook operations, has since started a cryptocurrency exchange business.
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