Over the past seven months, Bitcoin has experienced a torrid time, recording its most precipitous sell-off since April 2013. But many members of the crypto-community have kept faith alive notwithstanding the downtrend.
The Global Economy Will Intertwine With Cryptocurrency
Famous venture capital investor, Tim Draper, recently said that the global economy will soon be connected to cryptocurrency and bitcoin will lead the advancement. Tim still stands by his earlier predictions that bitcoin price will attain a massive $250,000 by 2022.
Draper while speaking to Mike Green of Thiel Macro for Investor Platform- Real Vision, forecasted that cryptocurrency will go as far becoming two-thirds of the value of the world’s currency. Draper echoed the fact that making use of cryptocurrencies cost less and it’s easier. This will make it more attractive for investment and further expansion of the crypto community.
Cryptocurrency To Equate Fiat Currency
While speaking on the prospects of cryptocurrency, Draper spoke about $86 trillion existing in political currency. This value ties to country’s fortunes in the world, while cryptocurrency has about $150 billion.
The renowned venture capitalist expects the ratio to eventually switch. Draper expects the equality between cryptocurrencies and fiat money to be as much as 50-50. This is because bitcoin and other cryptocurrencies are cheaper and frictionless in their operations. Draper also spoke about how frequently he moves dollars into bitcoin, saying:
I tend to move my dollars into bitcoin, I would rather have a global currency than one tied to a political force.
Challenging Times, However, Faithfulness is Needed
In the crypto market, cryptocurrency owners and traders have been trying to calm the storm. This route has seen the price of bitcoin drop by about 40% in two weeks. Trader and technical analyst, Peter Brandt advised that:
Bitcoin is at a point where stale money capitulates and strong hands accumulate strategically.
Warnings about further fall in bitcoin price are also out. There are fears that it could trigger panic on the cryptocurrency markets. Draper, on the other hand, has no doubt. He has clearly stated his ambition of raising a bitcoin venture fund.
He has plans of making a major investment in bitcoin, in a bunch of different companies. They will pay their employees and suppliers all in bitcoin. There will be no accounting fees, and it will be done automatically. It will all use smart contracts for development. So when one of the companies sell off, a button can push to make a shot into all of their bitcoin wallets.