Stout-hearted billionaire venture capitalist Tim Draper remains firm in his conviction – he still envisions Bitcoin (BTC) reaching the notable threshold of $250,000 per coin. However, he’s adjusting his timelines and forecasts the milestone to be achieved by 2025.
Undeniably, Draper’s prediction has needed to be postponed. Despite his optimistic forecast back when BTC was trading around the $4,000 mark, he admits we have had to wait a bit longer than anticipated, with engineers from the sector still grappling to improve the situation.
In an engaging conversation with Bloomberg, Draper revealed that the extent of the U.S bureaucracy’s hostility towards crypto took him by surprise. He assumed they would be more cognizant of the need to compete with a rapidly evolving global stage. The complicated position the U.S finds itself in, regarding the lack of coherent rules and regulations for the industry, has resulted in discord among crypto pioneers.
A traditional approach of “regulation by enforcement” is being taken by the U.S. Securities and Exchange Commission (SEC), which has sparked lawsuits against numerous crypto companies for supposedly breaking the law, notwithstanding the ambiguity of those laws. Draper articulated facts that illuminate this methodology as causing the exodus of many innovative entrepreneurs, subsequently contributing to the stagnation of Bitcoin’s price.
The impact of lawsuits by the SEC against large crypto exchanges such as Binance and Coinbase has also generated a significant price downturn for various tokens, while Bitcoin’s depreciation was minor. Conversely, the leading cryptocurrency has rallied to $30,700 – an 18% increase from the previous month with BTC dominance scaling a two-year high of over 50%.
Michael Saylor, head of MicroStrategy, has projected regulation as a boon in the long run for the flagship cryptocurrency, as it may persuade investors to divert their funds from altcoins back into Bitcoin. Draper too voices his long-term conviction: Bitcoin is “here to stay.” His vision of a Bitcoin-positive future is one where BTC can be used as a predominant currency in everyday transactions. The anticipation of the day when Bitcoin and its manifold benefits will be universally recognized by retailers, who can potentially save a substantial 2% in transaction costs, adds to his enthusiasm.
In essence, while unforeseen regulatory challenges have knocked the wind out of the cryptocurrency’s sails temporarily, luminaries like Draper reiterate their support, buoying the sector with optimism. Despite the setbacks, they continue to envisage an impressive comeback for Bitcoin, backing the digital currency stalwart to surge ahead and reach new highs. Their determination is a testament to the robustness and resilience of the cryptocurrency ecosystem at large.
Source: Cryptonews
