Bitcoin’s price could nearly double to $75,000 this year as more institutional investors start to embrace the world’s most popular cryptocurrency, according to the CEO of Swiss bank Seba.
“We believe the price is going up,” Guido Buehler told CNBC’s Arjun Kharpal at the Crypto Finance Conference in St. Moritz, Switzerland, on Wednesday.
“Our internal valuation models indicate a price right now between $50,000 and $75,000,” said the boss of the regulated Swiss bank which has a focus on cryptocurrencies. “I’m quite confident we are going to see that level. The question is always timing.”
After soaring to an all time high of $69,000 in November, bitcoin has seen its value collapse over the last couple of months and its price briefly tumbled below $40,000 on Monday, meaning it is hovering near lows not seen since September.
Asked if bitcoin will test the record levels seen last year, Buehler said he “thinks so” but he stressed that volatility will remain high.
This week’s price fall came as rising Treasury yields — and the prospect of higher central bank interest rates — continued to lead investors to shed positions in risky, growth-oriented assets.
Bitcoin fell as much as 6% Monday to touch a low of $39,771.91, according to Coin Metrics. It traded at $42,921.55 at around 5 a.m. ET on Wednesday.
Bitcoin’s price could nearly double to $75,000 this year as more institutional investors start to embrace the world’s most popular cryptocurrency, according to the CEO of Swiss bank Seba.
“We believe the price is going up,” Guido Buehler told CNBC’s Arjun Kharpal at the Crypto Finance Conference in St. Moritz, Switzerland, on Wednesday.
“Our internal valuation models indicate a price right now between $50,000 and $75,000,” said the boss of the regulated Swiss bank which has a focus on cryptocurrencies. “I’m quite confident we are going to see that level. The question is always timing.”
After soaring to an all time high of $69,000 in November, bitcoin has seen its value collapse over the last couple of months and its price briefly tumbled below $40,000 on Monday, meaning it is hovering near lows not seen since September.
Asked if bitcoin will test the record levels seen last year, Buehler said he “thinks so” but he stressed that volatility will remain high.
This week’s price fall came as rising Treasury yields — and the prospect of higher central bank interest rates — continued to lead investors to shed positions in risky, growth-oriented assets.
Bitcoin fell as much as 6% Monday to touch a low of $39,771.91, according to Coin Metrics. It traded at $42,921.55 at around 5 a.m. ET on Wednesday.
Before seeking regulatory approval, Buehler said Seba Bank looked at the technology that powers cryptocurrencies and concluded that it’s going to “redefine finance.”
Elsewhere, Californian venture capitalist Bill Tai told CNBC Wednesday from Switzerland that there’s “yet another wobble” in the crypto market.
“I don’t know when it’s going to go back up, but it’s going to go back up,” he said.
He added that cryptocurrencies are at the crux of institutional acceptance.
— Additional reporting by CNBC’s Tanaya Macheel. Read full story on CNBC News