Can Bitcoin attract a seven digit in eight years?

Arthur Hayes, the co-founder and former CEO of leading crypto derivatives platform BitMEX, has foreseen that Bitcoin’s value can reach the $1 million mark by the top of this decade. In an exceedingly diary post printed on Wednesday, Hayes gave a comprehensive breakdown of how the leading cryptocurrency would reach $1 million in eight years, a price that’s 2,500% more than its current price.

Hayes described the Bitcoin phenomenon

Hayes delineated a development he calls “The Doom Loop,” that represents 3 things countries across the world do to finance their deficit – merchandising debt to domestic entities, merchandising debt to foreigners, and also the financial organization printing money.

He noted that current political science tensions are additional intensifying the already high inflation rates. At some point, however, inflation can reach its peak, and central banks will not have any different selection however to resort to yield curve management (YCC), a tool utilized to stop bankruptcy. This, per Hayes, is the tipping point for Bitcoin. YCC is the finish game.

Once it’s finally implicitly or expressly declared, it’s game over for the worth of the USD vs. gold and a lot of significant Bitcoin. YCC is however we tend to get to $1 million Bitcoin and $10,000 to $20,000 gold.

What about the BTC hodl culture?

Hayes additionally opined that Bitcoin’s exponential value growth over the past decade had resulted within the “HODL culture.” He seen that this concept has become so widespread among BTC enthusiasts that HODLers are determined to not sell their holdings at any price, preferring to pay solely fiat.

The BitMEX co-founder, however, noted that this HODL culture may hamper the network’s performance once all Bitcoin blocks have been well-mined since miners would not receive block rewards however believe dealings fees. If there aren’t any transactions, because of HODLers holding their BTC stash tightly, the network’s hashrate can drop to zero, rendering bitcoin worthless.

He then urged all Bitcoin enthusiasts to participate within the network by conducting transactions to stop the collapse of the network. We tend to agitate for self-interested flags to avoid wasting a part of their accounting surplus in Bitcoin in order that Bitcoin farm-to-table economies sprout round the globe. Again, not like gold, Bitcoin must move.