Popular cryptocurrency analyst, Mia Tam, has indicated that there is high possibility of Bitcoin reaching an all-time high of $400,000 US Dollar after the third halving, which is expected to happen in May 2020, provided history repeats itself.
The respected cryptocurrency analyst also said Bitcoin will reach $9,300 this week, however, she did not back her summation with anything. At the moment, Bitcoin is trading around $8,529.
On this argument of history, Mia said Bitcoin’s market cap, if it reaches that level, will be at par with that of Gold.
To clear the crypto community’s doubt on this, the widely known expert, said such a high BTC market and price is highly possible, considering the fact that institutional money would soon enter the space.
Mia said: “If history repeats itself, BTC price will reach $400k after 3rd halving, and its market cap will be equal to gold’s market cap. Such a high $BTC market cap is possible! It’s a matter of time before institutional money enter the crypto space because #Bitcoin is better than #Gold.”
With Mark Twain’s golden world, “History doesn’t repeat itself — but it often rhymes”, it is easy for Mia to make an assumption that the price of Bitcoin could go that far.
If history repeats itself, BTC price will reach $400k after 3rd halving, and its market cap will be equal to gold’s market cap.
— Mia Tam (@_blockandchain_) January 12, 2020
Mia based her assertion on Rekt’s September 6, 2019, article on the expected growth of Bitcoin price after halving.
According to the article, the first halving took which took place in November 2012 saw the price of Bitcoin move from $2.01 to $270.94, and it took Bitcoin 513 days to see the huge rally of over 13,000%.
The second Bitcoin halving of July 2016 took Bitcoin from $164.01 bottom to its all-time high of $20,074. Then, it took Bitcoin over 1068 days to rally up by over 12,000% after the halving.
Using the past halvings as a yardstick for his post-halving price forecast, Rekt posited that Bitcoin rallies approximately 12,000–13,000% post-halving.
Bitcoin Trades around $8,500
At the moment, Bitcoin is trading around $8,529 after seeing a huge rally during the escalated Iran-US dispute. Since then Bitcoin has been switching between $7,000 range and $8,000. However, today, Bitcoin jumped to $8,529.
Aside from the US and Iran tension, analysts are of the opinion that professional investors are already back from their long end of the year holiday. This, experts, call “January effect in the stock market”.