Main navigation

Max Keiser Names Key Reason Why Bitcoin Could Hit $220,000

News
Mon, 01/03/2022 - 17:24
article image
Alex Dovbnya
Bitcoin is predicted to hit $220,000 by Max Keiser this year
Max Keiser Names Key Reason Why Bitcoin Could Hit $220,000
Cover image via stock.adobe.com

Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of U.Today. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Read U.TODAY on
Google News

Bitcoin maximalist Max Keiser has predicted that the largest cryptocurrency is going to reach a pie-in-the-sky target of $220,000 this year.

Keiser’s theory is based on his older theory that the price of the highest cryptocurrency tends to follow the network’s hashrate.

As reported by U.Today, Bitcoin’s hashrate reached a new record high of 203.5 exahashes on Jan. 2, starting the new year with a bang.

This came after the total computing power of the network dropped to as low as  58.4 exahashes per second in late June due to the mass exodus of miners from China.

In an interview with Daily Express, Keiser described the much-feared “China ban” as a temporary hiccup.  

He now says that Bitcoin’s fundamentals are “screaming higher.”        

The largest cryptocurrency is currently changing hands at $46,579 on the Bitstamp exchange, struggling to regain bullish momentum.

Related
Nobel Laureate Paul Krugman Insists That Bitcoin Has Almost No Legitimate Uses

Is there a correlation?

Record-breaking hashrate numbers mean that it has become even more difficult and expensive to cripple the network by performing a 51% attack.

The theory that the Bitcoin price tends to follow the network’s hashrate is based on the assumption that the cryptocurrency tends to appreciate due to miners investing more money and resources into the network. The higher level of security is attractive for long-term investors since become increasingly confident that Bitcoin is not going away.   

While a chart that compares the Bitcoin price and the hashrate shows that there’s a clear correlation, with the latter seemingly being a leading indicator.

article image
About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.