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CEO at Jan3 and early Bitcoin supporter Samson Mow has taken to the Twitter/X platform to share that he believes the flagship cryptocurrency still has good chances to reach $1 million.
Mow also explained why he believes that a similar prediction made by former a16z partner and Coinbase CTO Balaji Srinivasan in March this year did not work out.
Mow’s reasons to believe Bitcoin will reach $1 million
Mow believes that Balaji was right about the price of $1 million that he predicted for Bitcoin, when he made his $2 million bet on Twitter. However, he expected that price level to be reached due to the continuous money printing by the U.S. Treasury and Federal Reserve and due to the banking crisis that was in a full swing in March.
At that time, several large U.S. banks went bankrupt and were sold or bailed out by the U.S. government – Silvergate, Silicon Valley bank, Signature Bank (which had crypto companies on its customer list, including Ripple Labs).
Mow commented on this, saying that the money printing process dried up later during this year. “It will take a few more years for the market to adjust accordingly,” the Jan3 chief said.
As for the banking crisis, average people, who do not believe in crypto or do not understand it (“normies”) just went off to look for a safer bank - “They aren't at the stage where they realize no bank is really safe and Bitcoin is the only option.” Samson pointed out that these two catalysts could have pushed Bitcoin to $1 million, but he believes it was unlikely.
As for Mow himself, he believes that Bitcoin will eventually reach $1 million due to “massive rapid influx of institutional capital while Bitcoin available for sale is at historical lows, compounded by the halving.”
Mow says this bull run is different from previous one
In a few earlier tweets, the Bitcoin advocate opined that this BTC bull run differs from the previous one since the factors that pushed the BTC price up in 2021 are missing – quantitative easing dollars.
This time, the Fed is taking to quantitative tightening and is raising interest rates.