Depending on whom you talk to, Bitcoin will go to the Moon or crash to Earth. Bitcoin is already up over an astounding 1,600% year-to-date. Now, a top investment forecasting firm has placed a six-figure target on the cryptocurrency with a timeframe of about two years from today.
According to The Oxford Club‘s co-founder Adam Sharp, Bitcoin could hit an incredible $100,000 by the end of 2019. This forecast is a more than five-fold increase in the cryptocurrency over the next 24-months. At that price, Bitcoin would have a market cap of almost $1.5 trillion dollars. That would place the cryptocurrency’s market cap at about half of that of the US dollar.
So what is the appeal of Bitcoin and cryptocurrencies in general? Unlike other government-issued currencies, cryptocurrencies are not issued and are not controlled by any central bank. The technology behind the cryptocurrency allows the money to be transferred completely instantaneously and anonymously. And cryptocurrencies have a finite number of coins in circulation which ensures against hyperinflation of the currency.
While Bitcoin has outperformed just about every asset class, The Oxford Club warns against over-investing in the cryptocurrency. The investing firm places Bitcoin in its most speculative, Early-Stage Investing section of its portfolio. This means that Bitcoin should only be considered by investors who are comfortable with high-risk investment assets.
As Bitcoin continues its volatile upward surge, many investors will be more interested in the powerful cryptocurrency. Though The Oxford Club forecasts a six-figure target for Bitcoin, investors should understand that any investment in cryptocurrency is extremely speculative. As 2018 unfolds, Bitcoin will continue to dominate financial headlines around the world.