Antoni Trenchev – Co-Founder of the cryptocurrency lending platform Nexo – predicted that bitcoin will hit a price of $100K by mid-2022. In his view, the leading digital asset is an inflation hedge equal to gold.
BTC Trading at $100K in a Few Months
Despite increasing its USD value by over 60% in the last 12 months, bitcoin finished 2021 on a downtrend as many experts expected the asset to top the $100,000 milestone.
In a recent interview for CNBC, Antoni Trenchev – Co-Founder and Managing Partner at Nexo – opined that achieving this price level will happen in the next several months:
“I’m quite bullish on bitcoin. I think it’s going to reach $100K this year, probably by the middle of it.”
According to the 35-year-old Bulgarian, many leading companies are “quietly filling up their treasuries with bitcoin,” which will be the main factor to boost BTC’s USD value.
The macroeconomic realities such as the “cheap money” (a loan or credit borrowed at a low-interest rate) are “here to stay,” and that is great news for crypto, Trenchev added. He believes this is the second component that would fuel bitcoin’s price.
Speaking of the current financial processes, it is worth mentioning the rising inflation caused by the COVID-19 health disaster and the subsequent mass printing of fiat currencies. That rate reached nearly 7% in the United States – the highest level in the last 40 years, while countries like Turkey recorded an increase of 36%.
This could be another possible reason bitcoin’s price to more than double from now as it is an inflation hedge equivalent to gold, the top executive concluded.
More Countries to Adopt BTC as Legal Tender
In addition to his price forecast, Trenchev predicted that many nations, specifically those in the Latin American region that struggle with various monetary issues, could follow El Salvador’s move to accept bitcoin as a legal form of money.
“I think Latin America is a poster child for economies with some difficulties, managing their own currencies, and their respective central banks facing some challenges. So definitely all of them are potential candidates for adopting cryptocurrencies as legal tender, and it’s amazing how far crypto, and particular bitcoin, has come in just 13 short years.”
A few days ago, the President of El Salvador – Nayib Bukele – shared a similar prediction. He believes two more nations will follow his county’s path and adopt BTC as a legal tender in the next 12 months.