Following the recent price drop, a panel of crypto industry professionals and academics altered their bitcoin price projections, but still anticipate new highs for the cryptocurrency in 2022.
Bitcoin has fallen to its lowest price in six months as a result of a weeks-long downturn, and it is now selling at around 50% of its all-time high from November. BTC has rebounded significantly after falling as low as $33,000 at the start of the week, and is currently valued approximately $37,000.
When asked if the drop indicated it was a good time to buy, sell, or hold the cryptocurrency, more than half of the analysts surveyed by price comparison site Finder.com thought it was a good time to purchase.
In contrast, only 10% of respondents said investors should sell, while 29% said they should neither purchase nor sell.
The average price peak forecast by the 33 fintech professionals for 2022 is $93,717 — more than $20,000 more than the previous record of $68,000 — before falling down to $76,360 by the end of the year.
The panel expects that by the end of 2025, BTC would be valued $192,800, rising to $406,400 by the end of 2030. While these projections are high, they are much lower than the average predictions given in July 2002 by a comparable panel of experts, who anticipated a price of $265,000 and $706,321 respectively.
“Cryptocurrencies are proving to be a fundamental challenger to the world’s existing financial infrastructure, and many projects are now far beyond the theoretical area of potential value,” stated Finder co-founder Fred Schebesta.
Dr. Iwa Salami, an associate professor of law at the University of East London, added, “Increased interest from retail and institutional investors cannot be overlooked, and yes, while there are still huge regulatory gaps, it is critical that the potential of this emerging industry to transform business and finance and facilitate financial inclusion is not overlooked or undermined.”
Other poll respondents expressed concern that the recent bear market would not be ended, citing the potential of interest rate rises and broader economic instability.
“Bitcoin appears to be preparing for a significant drop,” said Lee Smales, an associate lecturer at the University of Western Australia.
“A ‘double peak’ appears to have developed, and the price may easily give up all of the gains from 2021.” In the end, I wouldn’t be shocked if the price is less than $1,000 in the long run, especially given the availability of more useful/efficient alternatives.”