Bitcoin – will it rise to $100,000 by 2023?Shutterstock
Although we have been facing a doom and gloom scenario for months in the crypto markets, the situation is not that negative for some. Investor and advisor, Oliver Isaacs has risen from behind the scenes to become one of the top blockchain investors, influencers and strategists in the space. He was an early investor in Ethereum, Bitcoin Cash, and Monero and is now none of the foremost authorities on blockchain investing. With a total social media following of around 1m followers across his channels, Isaacs’ company has worked closely with a number of well-known blockchain companies and exchanges, such as OKex, KuCoin, Coinsquare and Dragon. The total amount raised by companies Oliver has worked with has exceeded an impressive $400 million.
Having invested in coins such as Bitcoin, Ethereum and Monero when they were only single digit coins means he has seen returns in excess of 10,000%. According to his Twitter, Twitter.com/Oliverzok and Instagram channels, Isaacs continues to actively trade volatility in the crypto markets and is known to spot significant arbitrage opportunities in the markets. Isaacs has also been featured as giving business and investing advice in the Instagram and Facebook Stories of high-profile entrepreneurs such as Tony Robbins, Mark Cuban, and Tim Ferris.
Isaacs’s tech and blockchain advisory business has boomed in the last couple of years and he maintains close relationships with his solid investor base such as those he has worked closely with and advised—including Pantera Digital Asset Fund, Polychain, and Fenbushi who manage a total combined capital fund of over $500 million.
Isaacs believes that although cryptocurrencies are currently in a bear market, there are plenty of reasons for long term optimism. ‘“Short term volatility is great if you’re speculating or looking for arbitrage’” Isaacs notes, “but what really matters to HODLers and serious investors is the long-term trend in the value of popular cryptocurrencies like Bitcoin and Ethereum’” for example, Bitcoin went from less than $1,000 per coin to nearly $20,000 or approximately a 2000% increase in about 1 year. However, it is now trading at less than 25% of that all-time high at around $3600 at present.
He is quite convinced that there are plenty of reasons for Bitcoin to increase to astronomical levels in the future. “Despite the bear market conditions, digital assets are here to stay”. Last year, major investors such as Tim Draper, Fundstrat’s Tom Lee and Anthony Pompliano made predictions as to where they see Bitcoin’s price long-term. As for Isaacs, he predicts that the crypto rally will continue long-term and the price of Bitcoin could trade as high as $100,000 by 2023.
Isaacs has maintained this bullish sentiment for the last four years, and he predicts that there are plenty of reasons to see this happen in the future. He explains that the value of Bitcoin has followed the same trend as major social networks. In other words, greater engagement equates to greater value. Metcalfe’s law has been reflected in the value of companies like Facebook, Google, and Alibaba. This principle states that the value of a network is proportional to the square of the number of connected users in the system. 94% of the change in the value of Bitcoin in the past 4 years can be explained by this equation.
Isaacs explains, “Basic economics should be considered first. The fact that Bitcoin is limited to 21 million coins means that, over time, it is going to be much harder to mine, and there is going to be a limit on the total supply of Bitcoin. The halving will occur in two years. This will slow the rate of introduction of new Bitcoin into the ecosystem as the total supply marches ever closer to 21 million”.
He goes on to emphasize how fiat currencies have failed in many cases because humans can’t help but print more money. There has never been a time where a deflationary alternative built on code and mathematics is needed. Bitcoin has a compelling use-case as a store of value, particularly in countries experiencing hyperinflation such as Iran, Turkey, and Venezuela. Bitcoin also has a compelling use case in remittances. Greater adoption by financial institutions will help provide these services at more competitive rates.
With regards to Institutional Investors, Isaacs conveys that these as well as major financial institutions are starting to enter the market. These entities are trading in Bitcoin futures and other derivatives products via the CME and CBOE. Liquidity spikes could push the price of Bitcoin even higher. As new legitimate businesses spring up that enable cryptocurrencies to be used for a more diverse array of financial transactions such as Coinbase, Fidelity and J.P. Morgan, adoption will inevitably increase in the long run. In conclusion, Isaacs states, “This limited supply, coupled with an expected increase in demand, requires that the price naturally increases”.