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ECB Sparks Debate by Suggesting $10 Million Bitcoin Valuation Could Be Possible

ECB Sparks Debate by Suggesting $10 Million Bitcoin Valuation Could Be Possible

The European Central Bank (ECB) has stirred up the crypto community by suggesting that a Bitcoin price of $10 million is within the realm of possibility.

In a recent paper titled “The Distributional Consequences of Bitcoin,” the ECB expressed skepticism about Bitcoin’s value, claiming it lacks a solid economic foundation and is extremely volatile.

The ECB’s prediction reflects ideas from notable figures like Cathie Wood and Robert F. Kennedy Jr., but it has also criticized Bitcoin supporters for emphasizing its investment potential without addressing its economic utility. Currently valued between $50,000 and $60,000, the ECB asserts that while any price point, including $10 million, is conceivable, these figures lack economic justification.

Concerns have been raised about advocates predicting that Bitcoin’s market cap could surpass that of both gold and equities combined, especially considering the global bond market is estimated at approximately €130 billion.


 

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In contrast, prominent analysts, including those from Wall Street, expect Bitcoin to exceed $100,000 in this bull cycle, with forecasts from Wood and MicroStrategy’s Michael Saylor suggesting it could reach $1 million by 2030. This optimism stems from factors like the potential approval of spot Bitcoin ETFs and increasing corporate adoption.

Despite the bullish sentiment, some analysts worry that the ECB’s critical viewpoint could lead to stricter regulations on Bitcoin. Max Keiser, a noted Bitcoin supporter, remains bullish, projecting a price of $220,000, driven partly by gold’s influence.

As of now, Bitcoin is trading around $68,357, with trading volume up by 76% in the last 24 hours, fueled by excitement over the ongoing “Uptober.” Analyst Michael van de Poppe has suggested that a new all-time high could be on the horizon, stating he is prepared to buy the dip if market conditions permit.

Author
Alexander Stefanov

Reporter at CoinsPress

Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.

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