Mark Yusko – Chief Executive Officer at Morgan Creek Capital Management – once again opined that bitcoin’s USD value can skyrocket to $250,000 in the next five years. However, it might have a bumpy ride until reaching that milestone.
The American investor, hedge fund manager, and philanthropist – Mark Yusko – is a long-time bitcoin proponent with a consistent opinion of the asset. Earlier this year, he predicted that it will need no more than five years to land at a price of $250,000 due to network growth and rising adoption levels.
”This is a network and networks grow in an exponential way. This is the fastest network in history to a trillion dollars of value, right on the heels of FAANGS that took, you know 15 to 20 years depending on which one you are looking at.”
In a recent interview for CNBC, Morgan Creek Capital Management’s CEO envisioned the same forecast. He also praised the primary digital asset as superior to gold due to its fixed supply of 21 million coins:
“It’s classic supply and demand. One of the nice things about bitcoin as an asset is it has a finite supply. We know every day for the next 140 years how many bitcoin will be minted through the mining process.”
By the time when bitcoin reaches $250,000, its market cap would also equal that of the precious metal, Yusko added:
“I believe bitcoin has and is replacing gold. It’s now digital gold. It’s a perfect store value.”
Contrary to his long-term prediction, the hedge fund manager “wouldn’t be surprised if a little consolidation” occurs in the next few months. While many experts such as Mike McGlone and Adam Back have recently pointed out $100,000 as bitcoin’s price tag for the end of 2021, Yusko is not so convinced:
“There are a lot of people that think we could hit $100,000 by the end of the year. The stock-to-flow model says we should. I also wouldn’t be surprised of a little consolidation. Look, we’re up 40% this month which is only 15 days old.”
He argued that a significant percentage of the crypto investors will take profits due to the recent sharp rally of the digital asset market. This could be another reason for BTC’s price to head south soon:
“A pause that refreshes given how overbought we are right now wouldn’t surprise me. There is some risk of the buy the rumor, sell the news.”
Featured Image Courtesy of MoneyINC
