Bitcoin is behaving just like gold now and the major reason is that its supply is limited yet, more people are asking for it. A crypto enthusiast at Bloomberg, Mike McGlone, has said that with the way BTC is going now, he won’t be surprised if its price gets to $500,000. On the other hand, he also thinks the price of Bitcoin can fall flat. However, he is more optimistic about the possibility that Bitcoin can be digital gold because of its high demand and limited supply. He also talked about the price rally Bitcoin recorded in 2017:
“Much of the broad crypto-asset market echoes 2017’s excesses, but the foundation is firming due to expanding decentralized exchanges (DEXs) and finance (DeFi). Limited supply vs. increasing demand is the bottom-line for Bitcoin, with macroeconomic underpinnings that support its march toward the market cap of gold, at a price of $500,000 by some estimates. Or it could fail.”
The analyst believes that as digital gold, Bitcoin’s market cap will become as big as $9 trillion. If this happens, the price of one Bitcoin will be valued at $428.571 since there are only 21 million Bitcoins to be produced. Anthony Pompliano also shares the same belief with McGone on the future price of Bitcoin.
However, it is possible to contradict Bloomberg’s report because the margin between $0 and $500,000 is too wide.