Bitcoin money value can be measured by its growing base of users, merchants, and startups. As with all currency, bitcoin’s value comes only and directly from people willing to accept them as payment.
Today, greater regulatory clarity and new investment products are being introduced to the portfolio of Bitcoin. Its self – limiting value has presented Bitcoin a fantastic opportunity to rise as a favorite among traditional and institutional investors.
Bitcoin money value causes mistrust to finally fade away
Bitcoin today is considered a legitimate store of value asset, one rivaling traditional assets like gold as the suspicion and mistrust initially associated with crypto seem to be finally fading away.
The latest proof of the same is that Bitcoin manages to hold a clear advantage on the second-largest cryptocurrency, Etherium when it comes to the choice of investors and Stakeholders.
Cathie Wood, CEO and CIO of ARK Invest, and Yassine Elmandjra, ARK’s Thematic Analyst, on the latest episode of the Unchained podcast, Emphasized how Bitcoin appears to be an opportunity for institutional investors, while also exploring complex information between the Bitcoin and Etherium networks and their position in increasing investor‘s faith and adoption levels.
Invention maximalists versus the financial maximalists
As regards Etherium, Elmandjra explained this disparity in Bitcoin money value by categorizing it as a gap between the invention maximalists and the financial maximalists; sighting that, Etherium being the second-largest crypto is rarely in the spotlight as it has its own unique route for development and advancement.
Elmandjra added that:
When you look at it from a kind of a money first mindset, then you start and kind of end with Bitcoin. In which case, kind of the investor focus is really around kind of that assurance theory of money and looking at this really from a monetary view.
Bitcoin price in 2021 will increase up to 10x
Even with the recent global pandemic that saw the minimal crash of Bitcoin and saw gold made a huge recovery on the 14th of April when it reported its highest rate for the first time in seven years when it climbed to $1700.
The plan B test for the stock-flow- model predicts that the Bitcoin price in 2021 will increase up to ten times its present value. Ironically, even with the recent global pandemic, according to the Q1 2020 study published by Grayscale, Bitcoin appears to control crypto-investment funds, with Etherium gaining a relatively limited portion.
Source: Grayscale Q1 Report