Cryptocurrency Market Updates: Bitcoin Could Hit $500,000 Per Coin

Bitcoin to hit $500,000 Per Coin: A Fever Dream or Expert Analysis?



It would not be a falsehood to state that the cryptocurrency market has been having a less than stellar run. But despite its downward slide, Bitcoin evangelists believe that the cryptocurrency will soon have its time in the sun.

One such person is former Goldman Sachs banker and current CEO of Galaxy Digital Mike Novogratz. His company invests heavily in digital assets and is convinced that bitcoin will shoot for the stars, overcoming the temporary lull in its fortunes. On March 15, Novogratz went so far as to predict that the Bitcoin future price will reach half a million dollars per coin by 2027. He made this statement at the Bitcoin 2022 conference in Miami, surrounded by crypto enthusiasts. At the time of his prophecy, Bitcoin was priced at approximately $40,000. Novogratz mentioned that the performance of Bitcoin will continue to climb, eventually hitting a peak of $1 million. Today, Bitcoin is hovering close to $30,000.

The crypto coin reached an all-time high of $69,044.77 in November 2021. Since then, the coin has struggled to make it to the top and its price has fallen by over 36%.

Although it has started becoming a part of institutional portfolios, seasoned investors continue to remain skeptical as it is known for its volatility.

performance of Bitcoin

Bitcoin future price is expected to hit go above $500,00 after the halving event.

The Bitcoin Halving Event

A Bitcoin having event happens approximately every four years, or after 210,000 blocks. The first bitcoin halving event was held in 2012 and the next one is scheduled for 2024. The blockchain protocol that runs Bitcoin halves the reward accumulated after 210,000 blocks are created.

The Bitcoin halving event is unavoidable, after 210,000 blocks, as it is programmed into its source code. The halving results in a reduction of rewards for the creation of new blocks. Individuals and companies come together for Bitcoin mining so that they can share the rewards. A bitcoin halving event helps reduce supply, keeping demand high which eventually pushes prices higher. Bitcoin halving events also generate a lot of buzz and buyer interest that helps the crypto’s popularity.

The Bitcoin halving event due in 2024 is expected to reduce the reward to 3.125 BTC per block whereas at the previous event in 2020, the reward stood at 6.25 BTC.

Bitcoin Performance and Predictions

On his Twitter account, crypto analyst Dennis Parker shared a chart on May 22 that shows Bitcoin’s colorful journey over the years. The color bands follow a logarithmic regression but is not based on any scientific methodology. As per the chart, every halving event helped increase the price of Bitcoin.  

Furthermore, a Dutch institutional investor and the initial advocate of using the stock-to-flow (S2F) live model who goes by the name Plan B has predicted roughly the same thing. In his chart, he hints at an increase in price after a Bitcoin halving event. His model points to the fact that Bitcoin will hit $500,000 after the 2024 halving. His model studies the performance of bitcoin based on a refit of 18 million average S2F ratio and three years of new data.Wherever the price dipped, he has pivoted towards “Buy”. 

In the past Bitcoin halving has resulted in massive price surges. So, it is not entirely too far-fetched to assume that bitcoin will reach $500,000. From $12 in 2012 bitcoin reached a peak of $68,000 in 2021. Although it has fallen in recent times, it is slowly gaining ground. Past trends indicate that demand and price increase after a halving, if not there is a risk that miners will quit as the reward is not satisfactory. This will result in no increase in the value of Bitcoin.

Only time will tell how Bitcoin will perform in the future. In the meantime, if history is any indication this is a temporary phase and the digital asset is set to soar higher than ever before.

Christy Gren
Christy Gren is an Industry Specialist Reporter at Industry Leaders Magazine she enjoys writing about Unicorns, Silicon Valley, Startups, Business Leaders and Innovators. Her articles provide an insight about the Power Players in the field of Technology, Auto, Manufacturing, and F&B.

Leave a Reply

Your email address will not be published.

Recent Posts

Tesla Shuts San Mateo Office Laying Off 200 Employees

Tesla Shuts San Mateo Office Laying Off 200 Employees

The billionaire entrepreneur had previously commented on reducing the salaried workforce at Tesla. Out of nearly 100,000 Tesla employees worldwide, 42% are based out of the United
18 hours ago
The Mattel Metaverse – Launched by Cryptoys

The Mattel Metaverse – Launched by Cryptoys

In a recent interview, he acknowledged that toys and players are continuously evolving. Keeping this in mind, the company wants to develop its wares both in the physical and digita
24 hours ago
Multiple Fires Force CPSC to Recall Costco Solar Patio Umbrellas

Multiple Fires Force CPSC to Recall Costco Solar Patio Umbrellas

The Costco umbrella recall was jointly issued by the CPSC, Health Canada, SunVilla, and Costco. The CPSC has urged customers to remove the solar panel puck from the top of the umbr
2 days ago
Volvo Zero-emission Truck – Traced by Water Vapor

Volvo Zero-emission Truck – Traced by Water Vapor

In early 2022, Volvo signed the Drive to Zero pledge, reiterating its commitment to provide zero-emission commercial vehicles. Volvo is one of the largest manufacturers of cars, tr
2 days ago
Bill Ackman on Inflation: The Fed Will Hike Interest Rates

Bill Ackman on Inflation: The Fed Will Hike Interest Rates

Last month, the hedge fund manager suggested that only aggressive monetary tightening or a collapse in the economy will do the trick. He stated that the markets will recover if the
4 days ago
Cadillac’s Luxury Electric Vehicle Starts At $300,000

Cadillac’s Luxury Electric Vehicle Starts At $300,000

The Lyriq is the headliner for Cadillac as it is the first of GM’s brands to go all-electric by 2030.The Celestiq will not roll off GM’s usual factories, rather it will be
4 days ago