A leaked Citibank report predicts that the price of Bitcoin could hit a high of $318,000 by December 2021. The analyst who made the prediction called the cryptocurrency “21st century gold.”.
The price of Bitcoin shot past $18,000 per Bitcoin this week, giving investors and analysts more confidence in the apex cryptocurrency. Over the years, confidence in the cryptocurrency has increased. The three major bullish periods of BTC have increased in length. Initially, there was a 10-month run from 2010 – 2011, followed by a two-year run from 2011 – 2013 and a three-year run from 2015 – 2017.
According to Citibank’s global head of CitiFX Technicals,Tom Fitzpatrick,
“The whole existence of bitcoin has been characterised by unthinkable rallies followed by painful corrections, the type of pattern that sustains a long term trend,”
Fitzpatrick believes that the period of correction after the last two bull runs has been stable, at around 12 months. This could mean that we are in the middle of a bull run that began in early 2019 and could continue for four years until late 2022.
“The dawn of the next great crypto bull run may be upon us…we are seeing bitcoin prices that have not been reached in years. This time, institutional money is infusing bitcoin’s gains.”
The Bitcoin rally has given more institutional investors reasons to take more risks with Bitcoin. Many of them view the cryptocurrency as a significant hedge against inflation.
A new era of open banking and borderless finance is upon us. Google recently revealed its work on a new smart debit card. Users will be able to make purchases with the card through different mediums such as mobile handsets. Google is working with Citibank and Stanford Federal Credit Union to make the card.