Bitcoin (BTC) is expected to reach $ 60,000 by 2021 amid growing dominant adoption, according to an analyst at leading financial publication Investing.com.
Jesse Cohen, senior financial analyst at Investing.com, predicted that Bitcoin is likely to reach the $ 60,000 level in the first half of 2021.
According to Cohen, Bitcoin’s growth in 2021 will be fueled by the support of institutional investors combined with the “ultra-cheap cash flow injected into the global financial system” by global central banks like the United States Federal Reserve:
“After a record year in 2020, which jumped by more than 300%, Bitcoin appears to remain strong in 2021 as more retailers – and big name institutional buyers – enter the market […] For those who are already in, the strategy in place remains for HODL […] Novice investors for the first time found their way to many risk-perceived assets, including Bitcoin. “
Cohen’s comments come in conjunction with a new crypto-related survey from Investing.com, according to which 63% of UK respondents are planning to buy some Bitcoin in 2021. More than 60% of the 800 respondents also said they believe Bitcoin will be over $ 60,000 in 2021.
Despite growing confidence about Bitcoin’s rise in 2021, there are many concerns about the surrounding regulatory climate. “With Bitcoin becoming popular and attracting more attention, it is likely to attract more scrutiny from regulators in the United States, Europe and Asia,” said Cohen.
Cohen is particularly concerned about the impact of the new United States presidential administration. “The way forward may not necessarily be as smooth afterwards. I am expecting a retraction, ”added Cohen.
According to the survey, most British respondents identified the new regulatory restrictions as the biggest threat to Bitcoin in 2021.
Cohen’s forecast is by no means the highest for Bitcoin this year. Pantera Capital CEO Dan Morehead is confident that Bitcoin will reach $ 115,000 in August 2021. In early January, Binance.US CEO Catherine Coley predicted that Bitcoin could reach $ 100,000 by the end of the year. PlanB, creator of the stock-to-flow model, also predicts that Bitcoin should be between $ 100,000 and $ 288,000 in December 2021.