For the flagship currency to hit $100,000, Bitcoin will need to have a market capitalization of $2.1 trillion. That is about a quarter of the market capitalization of gold.
According to Option trader, Theta Seek stated that for this incredible feat to happen is to envision consistent buying demand from retail investors. The trader said:
“At 100K per BTC, the market has to absorb a miner supply of $90 Million USD daily. Assuming that there are 10 million people worldwide buying BTC on a regular basis. It would cost them each $9 daily to sustain those price levels. I’ve met people who spend more than $9 on coffee.”
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Theta Seek added that hodlers—a term used to define long time Bitcoin holders, most of them have not sold throughout the past three all-time highs of BTC, noting:
“Data suggests otherwise though, hodlers throughout the past three all-time highs have not been selling in significant portions. 60% of BTC has not moved for more than 2 years. Even if that were to be true, the longtime supply of BTC will eventually equal the mining (new) supply.”
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Data recently obtained from Coinmarketcap, shows the flagship currency having a market capitalization of about $177.5 Billion and at the time this report was drafted, it was trading at $9,648.
Just recently Bitcoin has received incredible support from top-class global financial brands, strengthening the argument as a store of value in recent weeks.
America’s most valuable bank JPMorgan became the first major bank to open accounts for cryptocurrency exchanges (Coinbase and Gemini) and Grayscale a leading American hedge fund experienced record institutional trading on Bitcoin and other crypto assets in the first quarter of 2020.
