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- Bitcoin price at $ 250 thousand with a market capitalization 25 times higher will attract the attention of authorities.
- Bitcoin adoption is in the early stages and offers a buying opportunity.
A constant concern in the crypto community is the possible retaliation it could suffer Bitcoin by global authorities. However, several experts believe that the cryptocurrency is in an early development phase. Therefore, you must achieve certain goals before something similar happens.
In a conversation with Eric Lombrozo, co-founder and CEO of Ciphrex, the veteran of the global macro market Dan Tapiero stated that Bitcoin’s market capitalization is still very small for macro authorities. Therefore, he believes that the cryptocurrency is “safe” until it reaches a price of $ 250 thousand and a market capitalization 25 times higher. Tapiero he claimed (freely translated):
Gold is 12 trillion dollars and nobody cares. Bitcoin has an authorization of at least 250k. 25 times before the big boy’s global macro authorities start to care that he exists.
In response, the former Goldman Sachs employee Raoul Pal he agreed. Pal also believes that Bitcoin is currently “irrelevant on a global scale.” However, Pal believes that Bitcoin’s market capitalization must be well above $ 200 trillion and the figure proposed by Tapiero. Pal he claimed (freely translated):
Yes, 100% agree. It is currently irrelevant on a global asset scale. As you say, even $ 10 trillion does not concern most central banks. The forex market trades half of that in one day. DTCC clears and liquidates just over a quadrillion in one year.
Tapiero and Pal are experts who have a deep understanding of how the traditional financial system works. Furthermore, they have been particularly bullish on Bitcoin’s performance in recent months. Pal has even affirmed that a Bitcoin ETF will be imminent.
Bitcoin price will grow with higher adoption
On the other hand, Bitcoin bull and investor Mike Novogratz he claimed that the price of Bitcoin has not gone up because more people are needed to understand how it works. Being in an early stage of development, investors can take advantage of the prices. Novogratz stated (freely translated):
If everyone already understood BTC and believed in it, the price would be much higher. Your opportunity to buy at these prices is because we are early in the adoption cycle.
Novogratz has claimed that Bitcoin will hit new all-time highs by the end of the year due to the economic crisis caused by the Covid-19 pandemic. The Bitcoin investor has also been optimistic about the level of adoption that the cryptocurrency has reached. In a previous tweet, Novogratz he claimed that adoption has been slow, but that “the herd is coming.” Therefore, he reiterated to his followers that now is the time to buy Bitcoin.