” The supply of bitcoin is limited to 21 million, giving it its anti-inflationary trademark. The token’s scarcity together with the Federal Reserve’s “rampant money printing” suggests its price should rise to $400,000, our fundamental work shows that Bitcoin should be worth about $400,000″. Minerd told Bloomberg on Television.
What’s the risk
Although many experts are optimistic about the future of Bitcoin, it’s important to stress the risks of investing in the digital currency. Bitcoin owes its value to the limited supply of tokens and the growing demand for it, therefore making the price higher whenever the demand for the currency grows. Another reason apart from the limited supply and high demand is the financial institution’s interest in the cryptocurrency, some firms started to prefer Bitcoin on behalf of gold.
However, cryptocurrencies are risky investments, If the demand for these tokens drops to zero, the Bitcoin and all other cryptos will have no value at all. That being said, millions if not billions of dollars will turn to ashes.
