Bitcoin, the leading cryptocurrency, experienced a series of negative developments this week. Despite these setbacks, $BTC managed to hold above the critical $76,000 level. This is considered a positive signal for $BTC’s upward trajectory, with Matthew Sigel from VanEck stating that Bitcoin will reach $100,000 next year.
VanEck Predicts Bitcoin to Reach $100,000!
Matthew Sigel, head of digital asset research at US asset management company VanEck, predicted that Bitcoin could reach $100,000 next year.
Speaking recently to CNBC, Matthew Sigel noted that current conditions in the cryptocurrency market differ from previous cycles.
Sigel noted that Bitcoin’s volatility has decreased by approximately 50% compared to four years ago, but added that rising global public debt and concerns about fiscal sustainability are among the factors supporting Bitcoin’s value.
Sigel also noted that policymakers are unlikely to fix the unsustainable financial structure in the short term, adding that the upward trend in Bitcoin could strengthen if liquidity conditions improve further.
Cautious Outlook on the Options Market!
Sigel also noted that various institutional investors, from investment advisory firms to sovereign wealth funds, are buying Bitcoin. He stated that this development shows the continued interest of institutional investors in Bitcoin, and added that in the options market, higher premiums are seen for put options compared to call options.
Matthew Sigel also noted that pricing in Bitcoin derivatives markets reflects investors’ cautious stance. According to Sigel, in options trading, demand for put contracts, which protect against price declines, is higher than demand for call contracts, which represent an expectation of an increase.
This situation indicates that investors are both maintaining their long-term bullish expectations and focusing on hedging strategies against potential fluctuations.
*This is not investment advice.
