Billionaire venture capitalist and investor Chamath Palihapitiya has predicted that bitcoin could see an unprecedented price increase to $500,000. This ambitious forecast depends on the possibility of a bull run after bitcoin-halving-2024-complete-what-expect/” rel=”nofollow”>The fourth bitcoin halving cycle, which occurred on April 20, 2024.
bitcoin will rise to $500,000
Palihapitiya has entered a remarkable x.com/altcoindailyio/status/1797497839926534243?s=46″ rel=”nofollow”>discussion regarding the impact of historical halving cycles on the value of bitcoin. The billionaire investor shared a price analysis that illustrates bitcoin-halving-stimulates-dialogue/” rel=”nofollow”>bitcoin performance and trend patterns after each halving event.
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According to Palihapitiya, bitcoin has historically reached new all-time highs after each halving cycle. He highlighted a correlation between bitcoin Halving Events from 2012 to 2024detailing the cryptocurrency's price actions one month, three months, six months, nine months, 12 months, and 18 months after the halving.
Palihapitiya noted that during the first three months after a bitcoin halving event, investors are generally still reassessing the event and its impact on the cryptocurrency market. However, he revealed that between 6 and 18 months after the halving, bitcoin witnessed an exponential price appreciation, pushing it to new all-time highs.
“The price of bitcoin has increased materially after each halving, with most of the returns coming between 12 months and 18 months after the halving event,” Palihapitiya wrote.
It revealed that 18 months after bitcoin's first halving cycle, the price of the cryptocurrency increased 45 times. After the second halving cycle, bitcoin increased almost 28 times, and after the third halving, it increased almost 8 times.
Based on these halving patternsPalihapitiya has projected that bitcoin's future value will reach $500,000 in October 2025, expecting it to follow a similar trend as its previous halving cycles.
btc could replace gold
In his discussion, Palihapitiya revealed that by analyzing the average patterns of bitcoin's previous halving cycles, the cryptocurrency could potentially peak of 1.4 million dollars. He stated that bitcoin could completely bitcoin-as-digital-gold/” rel=”nofollow”>replace gold if it reaches such levels of appreciation, emphasizing its potential to become a digital currency with transactional utility for hard assets.
Based on the averages of the second and third halving cycles, the billionaire investor projects bitcoin price will rise to $99,643 six months after its halving event in April, reaching $238,623 in nine months, $362,997 in 12 months, and almost $500,000 in 18 months.
Palihapitiya also revealed several factors that could contribute to bitcoin's rise to $500,000. He stated that the increase bitcoin-etfs-record-inflows/” rel=”nofollow”>demand for spot bitcoin exchange-traded funds (ETFs) could have a significant impact on the value of bitcoin in 2024.
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This prediction may have weight considering that bitcoin saw a steady price increase at the beginning of the year after the bitcoin-etfs-approved-by-us-sec/” rel=”nofollow”>approval of bitcoin Spot ETFs by the United States Securities and Exchange Commission (SEC). The cryptocurrency The price exceeded $73,000. following the launch of the Spot bitcoin ETF, which officially marks a new all-time high since 2021.
Featured image created with Dall.E, chart from Tradingview.com
