The Bitcoin exchange rate may rise in 2020 to 20 thousand dollars per unit of cryptocurrency. Such a forecast was given by Bloomberg, and it is completely opposite to the previous predictions of analysts in the American bank Goldman Sachs. In particular, the latter advised investors not to invest in bitcoin this year.
The most popular cryptocurrency has many favorable fundamental and technical factors, which will affect the growth of its price, Markets Insider writes with reference to Bloomberg.
The company’s analysts are confident that in 2020 bitcoin will double, which will increase its market capitalization.
“In our opinion, bitcoin will approach a record high this year – it’s about 20 thousand dollars per 1 BTC. This will happen if the cryptocurrency follows the 2016 trend, ”according to Bloomberg.
In a note by analysts, the main factors indicating the growth of the cryptocurrency rate are named. Among them:
- increased demand for digital currencies;
- more opportunities for trading bitcoin futures;
- a constant decrease in cryptocurrency volatility;
According to analyst Katie Stockton, technically, bitcoin has already strengthened its level, reaching $ 8 thousand per unit. If the cryptocurrency manages to exceed 10 thousand dollars, then the BTC rate will continue to move up.
In addition, Bloomberg is convinced that the coronavirus pandemic has benefited the cost of bitcoin. The company’s specialists named three reasons for this:
- Bitcoin has not suffered much, while stock markets have fallen record-high with the onset of the pandemic. Cryptocurrency briefly declined in price, but quickly managed to regain its position;
- coronavirus accelerates the transition from paper to digital currency;
- anti-crisis measures by global central banks “help independent assets such as gold and bitcoin.”