Bitcoin Could Peak Over $500K in August 2021

The San Francisco-based blockchain and cryptocurrency hedge fund founder made the comments in a April 30 letter to investors examining the performance of Bitcoin prior to the May 12 rewards halving in comparison to gold, oil, and venture capital.

Pantera Capital Founder and CEO Dan Morehead has predicted there is more than a 50-50 chance Bitcoin goes up “and goes up big”, with a predicted peak of over $500,000 in August 2021.

Initially hesitating to make any kind of prediction, saying he was “of two minds” as to how the halving would affect the price of the cryptocurrency, the CEO acknowledged “if the new supply of bitcoin is cut in half, all else being equal, the price should rise”:

“Bitcoin has historically bottomed 459 days prior to the halving, climbed leading into it, and then exploded to the upside afterwards. The post-halving rallies have averaged 446 days – from the halving to the peak of that bull cycle. In this cycle, the market did in fact trough 514 days before the halving.”

However, Morehead then dropped a bombshell prediction:

“IF history were to repeat itself, bitcoin would peak in August 2021 – at $533,431. Obviously that’s a big IF. That price sounds ludicrous…. Just sayin’ that there’s more than a 50-50 chance bitcoin goes up – and goes up big.”

Bitcoin overtakes gold and oil

Morehead also noted BTC’s performance in comparison to legacy assets since he wrote a letter to investors on March 25, tweeting that the cryptocurrency had outperformed gold.

The asset may be losing some of its luster according to the Pantera CEO – “it’s certainly past its Sell By date” – but “gold’s been around for 5,000 years, so it’s not going away overnight.”

The CEO also targeted oil markets with a rather on-point jab at the asset: “At least you don’t have to pay people to take your Bitcoin.” The statement was in response to oil going negative for the first time in history, when the industry had to pay others to take barrels off their hands.

“…oil has been a terrible asset class. Oil’s 35-year compound annual growth rate (CAGR) is zero point zero…. It’s never even hit 6% in the very best of times. Bitcoin has a 9-year CAGR of 215% with essentially zero long-term correlation to the rest of the world.”

Overstock’s Venture Arm Invests $2 Million in Blockchain ID Firm

Blockchain-based identity firm Evernym has received a $2 million investment from Overstock subsidiary Medici Ventures, according to a release from the company.

Medici Ventures participated in Evernym’s Simple Agreement for Future Equity (SAFE), which will be transferred into preferred stock at an undisclosed date. The round closed earlier this month with Evernym receiving funding from Medici Ventures for realizing its product.

A fully owned subsidiary of Overstock.com, Medici Ventures invests in blockchain firms and technology. Evernym joins Netki and FinClusive as Medici Ventures’ other identity-focused portfolio companies.

Speaking about the SAFE, newly appointed Overstock CEO and President of Medici Ventures Jonathan Johnson said Evernym is bringing the promise of digital identities to the world through blockchain technology.

“Evernym is bridging the gap between the siloed approach to identity and true self-sovereign identity”, said Johnson. “Evernym’s platform allows every person, organization, and connected thing to have an independent identity … and will help advance our government-as-a-service technology stack for civilization.”

Evernym president Steve Havas told CoinDesk the startup has been used by over 40 proof-of-concept or pilot projects to date and continues to work toward actualizing data self-sovereignty.

“Right from the start we’ve made it a rule not to cut corners in terms of ensuring a privacy by design, privacy by default position for our products – ultimately we’re designing applications that we as individuals would be happy to use.”

Johnson was appointed interim CEO of Overstock.com on Aug. 22 and full-time CEO a month later, taking over when former CEO Patrick Byrne resigned after admitting an affair with Russian spy Maria Butina.

At the time of his interim appointment, Johnson said he was fully ready to run both Overstock.com and Medici Ventures.

Spread the love

Leave a Reply

Your email address will not be published. Required fields are marked *