Bitcoin Will Reach $100K by Mid-2022, According to Nexo Co-Founder
The co-founder of cryptocurrency lending platform Nexo expects that Bitcoin will hit $100K by mid-2022 as a result of institutional treasuries’ influence and the Fed’s infusion of cheap money.
Nexo’s Antoni Trenchev said in an interview with CNBC’s “Street Signs Asia” that Bitcoin might experience additional appreciation and reach as high as $100,000 by the middle of the year.
As he stated: I believe [bitcoin] will hit $100,000 this year, most likely in the middle of it. Trenchev is a managing partner of Nexo, which bills itself as the world’s biggest lending institution in the digital financial business, with over $6 billion in loans granted and 2.5 million members worldwide.
Trenchev said that there are “two straightforward reasons” for Bitcoin to have significant price rises in the next months. He stated that institutions are using cryptoassets to “extend their treasuries.” Additionally, he projected that the flow of “cheap money” from government reserves will continue in the near future, indicating a bright outlook for bitcoin.
Trenchev’s remarks, as observed by CNBC, come amid predictions that the Federal Reserve would hike interest rates several times this year for the first time since the epidemic period in a move to rein in inflation.
Trenchev admits that his position was “contrarian” but ultimately consistent with the direction he anticipated the market would go.
Finally, he said, I believe that as soon as we see a rate rise, there will be a sell-off in stocks and bonds — and, quite honestly, we haven’t seen much political will to… force through any type of correction in conventional financial markets in the previous several years.