The Bitcoin price could potentially hit a $98,000 (£75,350) price value, according to recent research done by Satis Group, an ICO advisory firm.
Satis group believes that in the next five years, Bitcoin’s price will surge substantially to unprecedented levels. This was stated in a report written by Michael Hodapp and Sherwin Dowlat, as part of their five-part series which covers the cryptocurrency industry.
According to the research, the firm believes that the next five years will see not only Bitcoin but also other notable altcoins traded at unprecedentedly high rates. It estimates that Bitcoin could hit $98,000, whilst altcoins like Decred and Monero could reach price values of $335 and $18,000 respectively. On the flipside, the report notes that Bitcoin Cash will face a slower growth rate, at the much lower price of $268 due to it simply being a fork of Bitcoin that possesses negligible technological advantages.
ETH and XRP downcast
Interestingly, digital assets that bear centralized ownership are projected to significantly plummet in value. Case in point is Ripple/XRP, which is forecasted to trade at $0.01. Furthermore, according to the research team, Ethereum’s ‘platform network’ is projected to lose share to half or worse in 2028: It notes:
While we do acknowledge the strong community around the ETH network, minor flaws in design and governance (which we believe will result in contention leading up to the future network upgrades, notably the move to Proof-of-Stake (PoS) consensus) can expose the relatively low switching costs of overlying networks built on top of it (the ICO’s, and tokens).
Providing economic support
The report also notes that there will be a significant increase in the value of crypto assets needed for economic support. This is expected to surge from about $500 billion next year to the tune of $3.6 billion by 2018. Analysts have claimed that the most notable opportunity for cryptoassets will be dependent on store of value markets:
Currently, the vast majority of the total cryptoasset market capitalization is held in traditional store of value markets, with offshore deposits accounting for nearly 40 percent of the total. Despite TAM (total addressable market) growth residing in [computing, storage, and lending], the necessary cryptoasset market capitalization needed to support usage of those economies falls once adjusted for higher velocity. As a result, cryptoasset market capitalization growth is primarily from increased store of value use case penetration.
A huge positive
This report is a huge positive for crypto enthusiasts, who might be bracing for interesting times ahead. It was only last month that Sanford C. Bernstein & Co., a research company, projected that the combined revenue of crypto exchanges could double this year to hit $4 billion.