The number one cryptocurrency is likely to top the milestone mark of $50,000 per token in the near future. The fresh forecast of bitcoin did not come as a bombshell but added to the overall optimism of crypto investors.
This rosy forecast rests on reports from several large investment funds. These materials reveal an avid interest in digital currencies as long-term investments. In the meantime, savvy investors revise portfolios in favor of crypto assets increasing their share to 0.5 – 1% for trust management. If popularity of crypto assets carries on growing in the nearest 3-10 years, such buoyant demand will ensure a steady rally for the whole crypto market. As a result, bitcoin as the most traded cryptocurrency could squeeze out gold out of investment portfolios. It goes without saying that prospects of the crypto market will depend on monetary policies of influential financial authorities. Meanwhile, market participants have regained appetite for risk assets on the back of low interest rates and unlimited liquidity from the US Fed and the ECB. In fact, the precious metal is already showing signs of losing favor with investors.
Bitcoin is not the only digital asset to benefit from global risk-on mood. Ethereum, the second popular cryptocurrency, is also extending a stellar rally. In January, Ethereum hit an all-time high of $1,440 per coin.