Analyst Calling Bitcoin at $11,000 Each
$BTCUSD, $GLD, $CME, $JPM
Bullish analyst Ronnie Moas, who says Bitcoin’s market cap will 1 day catch up to Gold at $8-T, is raising his Y 2018 price target for the digital currency to $11,000 from $7,500.
Currently Bitcoin is trading at $7,303.21 Vs the USD.
“Every day more headlines are hitting the newswires on crypto,” Mr. Moas wrote in a note e-Mailed to clients Friday. “More countries are embracing it and the few obstacles that were standing in the way are falling down like dominoes.”
Bitcoin has surged to record highs every day this week, surpassing $7,000 for the 1rst time Thursday after CME Group Inc. (NASDAQ:CME) said it plans to start offering bitcoin futures by the end of the year.
The cryptocurrency’s market capitalization has grown to over $120-B from less than $20-B at the start of this year as its price has risen more than 600% YTD.
The rally has made it hard for analysts to keep up.
Growing interest in cryptocurrencies and their underlying technology, blockchain, is driving gains in the first and biggest digital asset.
There are now more than 100 cryptocurreny-focused hedge funds, while startups are raising more money through initial coin offerings than through venture capital.
Regulators across the world are scrambling to come up with a framework for the new sector, while ventures are springing up to cater to institutional investors itching to get a piece of the action.
The price rally is prompting an increasing number of bankers and analysts to say it’s a bubble about to burst. The latest to chime in is Societe Generale SA’s deputy head Severin Cabannes, Friday said “Bitcoin today is in my view very clearly in a bubble.” Credit Suisse Chief Executive Officer Tidjane Thiam’s words mirrored his Thursday, while JPMorgan Chase & Co. CEO Jamie Dimon has said it’s a “fraud.”
“What would we expect them JP Morgan to say?” Mr. Moas wrote. They’re “heavily invested in the publicly traded US banks that are threatened by cryptocurrency. Bitcoin is not a scam and it is not in a bubble. You are more likely to find scams and bubbles in the US stock market.”
Have a terrific weekend.