By Tobi Loba
Dan Morehead, the founder and CEO of Pantera Capital, has recently forecasted that Bitcoin (BTC) has more than 50% chance of a parabolic movement, setting his mind on seeing Bitcoin price at over $500,000 by August 2021.
Dan Morehead, the cryptocurrency hedge fund founder shared this assertion in a letter to investors on 30th April 2020.
This came as a result of a close examination of the performance of Bitcoin (BTC) in preparation for the periodic halving scheduled to hold on 12th May, in comparison to gold, oil, and venture capital.
Pantera Capital CEO Predicts $500,000 for Bitcoin (BTC) Price
In the letter credited to Cointelegraph, the CEO of Pantera Capital averred that “if the new supply of bitcoin is cut in half, all else being equal, the price should rise”.
Adding that “Bitcoin has historically bottomed 459 days prior to the halving, climbed leading into it, and then exploded to the upside afterwards. The post-halving rallies have averaged 446 days – from the halving to the peak of that bull cycle. In this cycle, the market did in fact trough 514 days before the halving.”
Afterward, Dan Morehead stated his long term prediction for the price of Bitcoin (BTC).
He said:
“IF history were to repeat itself, bitcoin would peak in August 2021 – at $533,431. Obviously that’s a big IF. That price sounds ludicrous… Just sayin’ that there’s more than a 50-50 chance bitcoin goes up – and goes up big.”
Comparing the Performance of Bitcoin (BTC), Gold and Oil
In another development, Dan Morehead compared the performances of Bitcoin (BTC), Gold, Oil, and other conventional assets, since the start of 2020 to date, in a comment shared on Twitter a couple of days ago.
In the chart captioned in the tweet, it’s revealed that Bitcoin (BTC) has outperformed other digital assets, including Gold, Oil, S&P 500, Real Estate, and others.
#Bitcoin overtakes Gold Year-To-Date.
Bitcoin was born in a financial crisis. It will come of age in this one. pic.twitter.com/Lw2Sn9RtR1
— Dan Morehead (@dan_pantera) April 29, 2020
Bitcoin (BTC) in the Market
The price of Bitcoin (BTC), the largest cryptocurrency by market capitalization, has once again surged to trade above $9,000 resistance level.
Over the past few days, the digital currency has failed in more than 2 attempts of holding $9,000 as support for the expected pre-halving positive price trend. At the time of writing, BTC is trading at $9,024.81, with a relatively 4% price increase based on 24 hours estimation.