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Placeholder Capital partner Chris Burniske says he believes a new Bitcoin bull cycle will bring the top cryptocurrency to at least $50,000.
Burniske says the prediction is designed to account for Bitcoin’s historic pattern of posting diminishing returns for each subsequent bull run.
“Why Bitcoin > $50,000? As discussed in May 2019, if BTC is half as volatile in this cycle as it was in the last, we would still expect it to cross $50K and $1 trillion in network value. $1 trillion has been a long time coming for this macro-asset.”
If Bitcoin can mount such a rally, Burniske says Ethereum will likely once again outperform BTC, as it did during the previous parabolic crypto cycle in 2017. If that happens, he expects ETH to surpass $7,500 – a 3,132% increase from today’s price of about $232.
“Meanwhile, to the mainstream ETH will be the new kid on the block – expect a frenzy to go with that realization.
Given ETH’s outperformance of BTC over its lifetime (chart below again), not to mention smaller network value and strong on-chain economies, I see every reason for ETH/BTC to surpass ATHs.
If BTC goes > $50,000 in the next cycle, and ETH/BTC returns to its former ATH, then expect to see ETH > $7,500.”
Burniske, who is a big fan of the Ethereum-based push to decentralize finance, says he thinks it’s still early days for crypto.
He expects mainstream retail investors to repeatedly jump into the market in a cyclical pattern on the path toward widespread adoption.
“Crypto is still off the radar compared to 2017-style interest, and that type of interest will come again, and again, and again, and… Each cycle with past narratives hardened + new narratives that drive further conversion of users, suppliers, developers, and investors.”
Featured Image: Shutterstock/Tithi Luadthong