Is Bitcoin able to break through $100,000?

For the Crypto - Lovers💛 !!

Without a question, one of the asset classes with the strongest returns in recent years has been cryptocurrencies. Just look at Bitcoin (CRYPTO: BTC), whose value has risen dramatically in the last ten years.

The most valuable digital asset in the world increased by 154% even in 2023, crushing the stock market as a whole. Bitcoin is still 38% off its peak, though.

The momentum encourages rather than discourages the bulls. Their goal is to reach $100,000 for each coin. Can Bitcoin surpass this significant milestone by rising 130% from its current levels?

An ideal configuration

Lately, there has been a lot of news about bitcoin. This is because the digital asset fulfilled a long-overdue goal. And with that, spot Bitcoin exchange-traded funds (ETFs) have been approved. The Securities and Exchange Commission eventually gave these financial products permission to be sold earlier this month. Perhaps the investing community's expectation that ETFs would be approved contributed to Bitcoin's 2023 increase. Many see this as a turning point in the history of Bitcoin, establishing its legitimacy as a financial asset in the eyes of Wall Street and the authorities.

These days, it's quite affordable and simple to have exposure to changes in the price of Bitcoin through spot ETFs. Investors no longer need to worry about self-custody difficulties or register a separate brokerage account with a cryptocurrency exchange. Bulls in bitcoin are expecting that the ETFs would bring in fresh cash to the market, which might eventually raise the price.

In addition to receiving official government recognition, another development is expected to drive up the price of Bitcoin. The so-called "halving" of the blockchain network is scheduled for this April. At this point, miners' Bitcoin incentives for approving transactions and securing the blockchain are reduced by half. It occurs around every four years, and in the past, it has made the market atmosphere for Bitcoin optimistic.

Take a look at the previous instance of this. The final Bitcoin halving took place in May 2020. The two months prior saw a meteoric rise in cryptocurrencies. And throughout the eighteen months that followed the cutting. In November 2021, Bitcoin reached an all-time high of about 69,000, after surging by 661%.

Resolving an issue

Although it's simple to get sucked by the short-term fluctuations in Bitcoin's value, investors should take the time to learn what makes this cryptocurrency so unique.

Supporters of Bitcoin hold extremely strong opinions about this digital asset because to the issue it resolves. Bitcoin is essentially attempting to overthrow the Federal Reserve and the existing monetary system by functioning as a decentralized, worldwide peer-to-peer payments network that is uncontrolled by any one entity. Some claim that by continuously changing interest rates to address inflationary and economic problems that they are unable to control, central bankers have done more harm than good.

Furthermore take into account the fact that the debt of the United States government has increased over the previous forty years to $34 trillion. Not even unfunded obligations like Social Security and Medicare are included in this.

This precarious financial state doesn't seem to be sustainable. The attributes of Bitcoin, particularly its uncontrolled nature and fixed supply ceiling of 21 million coins, make it a desirable asset to include in a portfolio.

Although it's difficult to forecast short-term price changes, there's a probability that Bitcoin may hit $100,000 quickly. But only those who have faith in this asset's long-term prospects and want to keep onto it for the next 10 years should purchase it. Considering that time horizon, the final cost may be far more than $100,000.

It is believed that if the government is forced to create money in the future, the debt load would only get more overwhelming.