Bitcoin’s value hit a record high of over $61,000 on Saturday, and while it’s dropped slightly throughout this week, a 2017-style drop doesn’t look like happening this time around.
With many financial institutions and experts now backing the digital currency, it looks like bitcoin is here to stay. With that in mind, many now feel that they’ve missed the investment money boat here – but is it really too late.
We’ve got the answers to that all important question – is it really too late to buy bitcoin?
Anthony Scaramucci Thinks Not, Citing Amazon as an Example
Former White House Director of Communications and long-time successful financier Anthony Scaramucci definitely doesn’t think the ship has sailed for Bitcoin investments. While he does think that the volatility will disappear overtime, as Bitcoin is definitely here today, he thinks youth is still on bitcoin’s side when it comes to investment potential.
Speaking to CNBC, Scaramucci compared Bitcoins investment potential to Amazon. Having been founded in 2099, Bitcoin is 12 years old this year – the same age Amazon was the year bitcoin was founded. Those who invested in Amazon in 2009 have gotten a 64x return on their investment as of 2021 – and Scaramucci thinks bitcoin definitely has similar, perhaps even better, potential.
Could Bitcoin Pass the $100k Mark?
The big debate among financial commentators towards the end of 2020 was how far bitcoin’s price could surge in 2021. Interestingly, it was largely a two-sided debate – those who thought it would hit $100k, and those who thought it would plateau at a lower pierce. Almost no one was predicting another bubble bursting drop like we saw in 2017 – the consensus is that crypto’s here for the long run.
What Are They Saying in 2021?
American stock broker and media personality, Peter Schiff, was initially one of crypto’s biggest sceptics, though he started to take it more seriously in 2020. Despite this, when asked towards the end of last year, he still didn’t believe that bitcoin could surprise the $100k.
Fast forward to February 2021 and he has revised his prediction, admitting that the price had surpassed his expectations by reaching the $50,000 mark. He has now said that a move up to $100k “can’t be ruled out”. Unlike other former sceptics-turned-believers like Scaramucci, Schiff isn’t convinced of bitcoin’s long term potential – claiming the price could still at one point slum back down to zero. An old school investor, Schiff still has his faith in gold and other physical assets.
Bitcoin – The Reality
The reality of bitcoin in 2021 is that it’s hit its highest ever price – a milestone that it’s been exceeded on almost a weekly basis so far. More people have an understanding of bitcoin and other cryptos and, crucially, more people have faith in its longevity. However, it’s still decentralized and we’re still in the early stages of the acceptance of the wider financial world. Therefore crypto as an investment essentially remains the same as it always was, just at a higher price – it’s a volatile one that could make you, or lose you, a lot.
Take a look at more news and articles by Alex Foster, our Blockchain editor.