Yes, Bitcoin might touch the $100,000 mark in the future. But what next? Probably nothing.
Highlights-
- Bitcoin price plummets below $46,000, predicted future fall up to $40,000 by year end.
- Investors still bullish on the $100,000 price prediction for world’s biggest cryptocurrency.
- India, Russia hint towards banning the cryptocurrency, a regulatory crisis looming.
- A multitude of factors prove that Bitcoin has lost its competitive edge over other cryptocurrencies.
When 2021 began, the world of cryptocurrency recorded an unprecedented spur in the number of investor. After Bitcoin touched the highest ever price in the first half of 2021, even people with very little or no knowledge of decentralized finance, started to put their money in the buzzing crypto. However, if you still have your money invested in Bitcoin, you might want to give its future a serious thought — considering bitcoin future price and that too, NOW.
Bitcoin Will Take You Down! The Biggest Crypto Stares Into Blank Future
Yes, the $100,000 price prediction for the world’s largest cryptocurrency by market cap sounds beguiling. But this is where you draw the line between investing and betting.
Here is the thing, Bitcoin is not the future and it will soon become redundant. It is struggling to move past the current price slab and while it might hit a $100,000, but its future from there on appears bleak.
Senior Professor of International Trade Policy at Cornell University Eswar Prasad told CNBC in conversation, “the promise of decentralized finance using blockchain technology is a real one but Bitcoin itself may not last that much longer.”
So what is happening and why you should pull out your money if you have invested in Bitcoin? Let us find out.
Forget winning, Bitcoin no longer seems fit to even run in the crypto race
Bitcoin is losing its competitive edge over other cryptocurrencies like Ethereum, Cardano, Solana, and others. Actually, Bitcoin never had a competitive edge over these cryptos to begin with. So far, BTC prices have increased due to the hype and dialogue that surrounds it. In practicality, this crypto has still not proven to its worth as an exchange medium.
Bitcoin has failed to emerge as an effective medium of exchange, neither it has any robust use-case for future.
Given that Bitcoin is not serving well as a medium of exchange, I don’t think it’s going to have any fundamental value other than whatever investor’s faith leads it to have — says Prasad.
Blockchain technology is proving to be revolutionary for the world. And cryptocurrencies like Ethereum, Cardano and others are providing way for these technological advancements to occur. The best and most famous example is metaverse.
However, Bitcoin does not serve any such purpose. It might be built on a blockchain, but it has no value to offer to the decentralized internet of tomorrow.
According to Prasad —
Bitcoin’s use of the blockchain technology is not very efficient. It uses a validation mechanism for transactions that is environmentally destructive that doesn’t scale up very well.
Problems don’t end here for Bitcoin’s future price
While mentioned above are the most fundamental challenges that Bitcoin will face in the near future, there is more to it. World’s largest cryptocurrency is facing regulatory troubles from every end that are not giving any sign of solution.
Bitcoin crackdown by the Chinese authorities sparked a severe blow for the crypto, the one whose effects are still visible. Now, countries like Russia and India are seeking to ban Bitcoin completely, proving the fact that despite becoming a legal tender in El Salvador, Bitcoin has failed to gain the trust of majority nations.
On top of that is the unsustainable of BTC that is the biggest red flag during times where climate change is at its extreme. One study has found that if continued mining, Bitcoin can contribute more than 2°C to the global temperature. This would generate around 130 million metric tons of CO2 by 2024 in China alone.
There isn’t much in favor of Bitcoin’s future and while it might still give some returns as a long term investment, the safest bet here would be to not buy Bitcoins anymore for your DeFi portfolio.
“It’s hard to know where it goes. When you look at a long-term trendline of Bitcoin and it’s just up consistently — If you think about buying Bitcoin, think about it as a five-year plus investment.’”
