Tom Dunleavy, Partner and Chief Investment Officer (CIO) at MV Capital, recently elaborated on the reason for his price predictions for Bitcoin and Cardano. As part of his predictions, the crypto analyst had, at the beginning of the year, stated that Bitcoin was going to hit $100,000 soon enough.
Why Bitcoin Will Rise To $100,000
In an interview with Scott Melker, Dunleavy alluded to the Bitcoin Halving as the reason why he believes Bitcoin will hit $100,000. Interestingly, he stated that this prediction was a “bit light” if the past post-halving numbers are to be considered. He noted how Bitcoin’s price usually sees at least a 4x increase once the Halving event takes place.
Dunleavy’s analysis of the Bitcoin Halving event is shrewd, taking historical data into account. His prediction is grounded in an understanding of Bitcoin’s price behavior and the potential impact of significant events on the cryptocurrency market. This adds credibility to his forecast of Bitcoin reaching $100,000, as it is backed by data and historical patterns.
Bitcoin Halving continues to be predicted as the event that will spark the next bull run, ushering in these price increases for Bitcoin. Skybridge Capital CEO Anthony Scaramucci also referred to this event as the reason for his prediction that Bitcoin will rise to $170,000. Like Dunleavy, he also noted how Bitcoin usually sees at least a 4x increase after miners’ rewards are cut in half.
Dunleavy’s analysis aligns with industry sentiments, as prominent figures like Anthony Scaramucci also see the Bitcoin Halving event as a key driver of price appreciation. The convergence of expert opinions adds weight to the prediction, reinforcing the likelihood of Bitcoin reaching the projected $100,000 mark.
Indeed, Bitcoin is known to have experienced a big rally after the Havling took place. Historically, Bitcoin’s price has seen an 8,000%, 284%, and 559% gain one year after the Halving in 2012, 2016, and 2020 respectively. Furthermore, Bitcoin’s price has hit a new all-time high (ATH) in each of these instances, making the $100,000 price prediction very feasible.
The historical data presented by Dunleavy supports his forecast, as it illustrates the consistent growth and new ATHs following previous Halving events. This historical context bolsters the likelihood of Bitcoin’s price reaching $100,000, providing a compelling basis for his prediction.
Source :MilkRoad
Dunleavy also highlighted the Spot Bitcoin ETFs and macroeconomic factors like the expected interest rate cuts as other reasons why he thinks a 2x increase in Bitcoin’s price is a “solid base case.” These ETFs are expected to keep contributing to an increased demand for the flagship crypto token, while a rate cut is usually bullish for Bitcoin.
Why Cardano Is Dead
In his predictions for 2024, Dunleavy boldly claimed that Cardano would lose its relevance and a new chain would take its place. Elaborating on the reason for this assertion, he alluded to the network’s lack of a stablecoin and that DeFi (Decentralized Finance) was basically “non-existent” on it.
Dunleavy’s assessment of Cardano presents a bleak outlook for the cryptocurrency, citing fundamental weaknesses in its ecosystem. His analysis raises critical concerns about the network’s viability and competitive standing in the market, offering a contrarian view compared to prevailing sentiments.
The crypto analyst went on to call Cardano’s founder, Charles Hoskinson, a “megalomaniac” who is “unwilling to change or adapt to the ecosystem.” He suggested that this was the reason why projects on the network are looking to migrate to other networks, a move which he believes is going to cause Cardano to fade off in the long run.
Dunleavy’s critique of Cardano’s leadership and ecosystem dynamics presents a strong indictment of the network’s governance and adaptability. His comments reflect a deep skepticism towards the sustainability of Cardano’s current trajectory, offering a provocative perspective on its potential downfall.
Dunleavy also noted how Cardano’s lack of Venture Capital (VC) has handicapped the network, considering the recognition and users these VCs bring “directly through their capital.” This was another reason why the crypto analyst wasn’t so hopeful about the network’s future.
His observation about Cardano’s VC deficiency underscores critical challenges in funding and support, shedding light on systemic weaknesses in the network’s growth and development strategies. This further bolsters his assertion of Cardano’s diminishing prospects, as it lacks crucial resources needed for sustained expansion in the competitive crypto landscape.
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