With Bitcoin price reaching for the first time $10,000 on November 28, 2017 - I keep wondering - could we see Bitcoin double or even triple in value in 2018?
According to Coinmarketcap the price for bitcoin has gone up tenfold since the begging of 2017, trading high $1,003.08 on January 2017 and reaching $10,075.90 on November 28, 2017
Bitcoin Year to date chart - January 1st - November 2017 (data source: Coinmarketcap.com)
Now, there is one approach we could try to apply and try to predict the future price of Bitcoin - using the total market capitalization of Bitcoin.
As of writing this article, the total market cap of Bitcoin is $168,861,518,975, while in January it was $15,491,200,000. That's the same tenfold increase
$168,861,518,975 / $15,491,200,000 = ~10.9
In order for Bitcoin to reach $30,000 value, the total market cap should increase three times:
$168,861,518,975 * 3 = $ 506,584,556,925
That's about a 500 billions of US dollars.
As the total market cap for 1324 cryptocurrencies currently listed on Coinmarketcap is about $ 311 billion at the end of November and Bitcoin dominance is about 54%, personally, I do believe that we could see Bitcoin double or even triple in 2018.
The question is, will it actually happen so? Things could go completely wrong, major exchange hacks, governments outlawing cryptocurrencies and so on.
Remember - investments are risky, never invest more you can afford to lose.