Billionaire Tim Draper has doubled down on his prediction that Bitcoin will reach $250,000 by the end of 2022.
Draper first made this prediction in 2018 when Bitcoin’s price was still trending below $10,000. Being a venture capitalist and tech investor, Draper has always had faith in the coin. Always taking any opportunity he could to show his support for the coin whenever he could.
The venture capitalist believes that Bitcoin will become an accepted mode of payment everywhere. Which he believes is what will drive the coin price up to the point he predicted.
“I’m Going To Be Right On This One”
Tim Draper has always had strong convictions when it comes to Bitcoin. His support for the coin has never wavered. He believes that Bitcoin will be at the center of all of the world’s financial activities for the next 20 years.
Related Reading | Will A Large Spike In Bullish Sentiment Translate To A Bitcoin Rally?
He continues on to state that he believes that the price of the coin will keep going up. His reasoning for this being that “because there are only 21 million of them.”
This is in reference to the limited supply of Bitcoin. When Bitcoin was created, there were only 21 million coins created that would end up going into circulation. Meaning 88.3% of the entire supply has been minted, and it happened in a decade. This scarcity of the coin is one of the reasons so many people believe the price of Bitcoin will rise exponentially. Because there are only so much coins that can be mined or bought.
So far, about 18.5 million Bitcoins have been mined. Leaving only 2.5 million coins left to be mined. It is forecasted that it will take about 120 years for the last coin to be mined. With halvings occurring every four years.
Not Backing Down On His Bitcoin Prediction
Tech investor Tim Draper still believes Bitcoin will reach $250,000 soon. Only slightly adjusting his earlier forecasts by saying it will hit that price late 2022 or early 2023.
At 63, Draper has been in investing for most of his professional life. He made his fortune making early investments in Twitter, Tesla, and more. Not new to the workings of the financial markets, he has said that Bitcoin will be a big player in the space. He pointed out that Bitcoin has a lot of positive features, saying that this is what will draw the masses to the coin.
Bitcoin back below $40k | Source: BTCUSD on TradingView.com
With regards to Bitcoin being used as a form of currency, Draper is quoted saying;
“Bitcoin will be the currency of choice. Bitcoin is not as easy to move around, but eventually, it will be. Then you will have a choice and you will say, hey, do I want to pay the banks 2.5% to 4% every time I swipe my credit card or do I want a currency that’s frictionless, open, transparent, global, and not tied to any political force?”
Bitcoin’s viability as an everyday currency has always been a hot topic in the crypto world. The fees associated with sending the coin has long been a bone of contention when it comes to using it to pay for everyday items. And in bull markets, the fees go up significantly, where fees can cost more than the amounts being sent in small transactions.
Related Reading | Hall Of Fame Investor: Bitcoin Is In A “Bear Market”
Speaking about the stock market, Draper disclosed that the stock market was no longer image. His intent is to devote his portfolio to the crypto market instead.
The billionaire believes that other companies will follow in the footsteps of companies like Microsoft and PayPal who have begun payments using cryptocurrency.
Draper also gave his opinion on Elon Musk and how his tweets have been impacting the crypto space. Saying that Musk got this one wrong, though he believes Musk to be one of the most brilliant men in the world.
Musk’s tweets have been the sole driving factor in the tremendous price increase of Dogecoin. A coin that was created as a joke but is now one of the highest gaining coins in the world.
Featured image from Bitcoin News, chart from TradingView.com