CEO Of Kraken Explains Why He Still Thinks Bitcoin Will Hit $200,000 This Year
The Wealth Gang team writes about financial information, passive income ideas, apps, programs, cash management tools and other wealth gadgets that we think you might want to use or learn more about. Sometimes, we write about products, services or items that might be associated with affiliate partnerships. In these instances, we will earn a small percentage of the revenue from sales. There is, of course, no cost to you.
Thank you for all your support! Without you, we could not keep this site running. Gang Gang!
Cryptocurrencies, especially Bitcoin, know about volatility all too well. From Summer of 2020 to early 2021, Bitcoin was on a tear reaching all-time highs that no one would have thought possible only 12 months ago. But as fast as it hit $64,000 per coin, it came falling back down to earth to settle in the $30-40K range. And while a lot of people aren’t as bullish as they once were, Jesse Powell, the CEO of Kraken, still thinks Bitcoin will hit $200K by year end.
December 31st is only 6 months away. Is a 7x run possible for Bitcoin?
Although Powell’s $200K target for year end is $50K lower than his initial price prediction for 2021, he told Business Insider that he still thinks it is possible. Partly because these dips have happened before, albeit at a much lower price point.
“There was a time when Mt. Gox blew up and the price of bitcoin went from $1,000 down to $100 and lost 90% of its value. It’s also gone from $30 down to $2,” Powell said in an interview. “So there have been way bigger moves in the past… there have been some moments in the past where it’s like geez are we ever going to recover from this.”
Powell even went as far as saying he doesn’t think there is a better long term trade than Bitcoin at $32,000
“Personally, I’m still super bullish. If you look at the chart longer-term, bitcoin is just still continuing to outperform every other asset in the world,” he said. “If you were going to sell your bitcoin at these levels, I would ask what could be a better trade than bitcoin at $32,000.”
He is so steadfast in this belief that he even told Bloomberg that he thinks people are ready to make the ultimate sacrifice to buy Bitcoin at these levels.
“People are getting ready to go on ramen diets to buy Bitcoin”
A few days ago, Powell put his money where his mouth is. And he took to his social media claiming that he added more Bitcoin to his personal portfolio.
Been a long time. Just bought more #BTC Felt irresponsible not to.
— Jesse Powell (@jespow) June 9, 2021
As for whether or not $200K is attainable, Powell said it is “still possible” and that he thinks once regulators provide a clear plan for the regulatory future of crypto more conservative institutions will get onboard and greater liquidity could be achieved.
Is what Powell is saying true? Possibly. But it’s also worth remembering that anyone who owns a lot of Bitcoin, or is the CEO of a cryptocurrency exchange, is going to root for a future where coins are flourishing. So as always, invest wisely. And when it comes to crypto, it’s best to only invest what you can afford to lose. Even Powell agrees with that.