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Saxo bank predicts Bitcoin price rise

Saxo bank predicts Bitcoin price rise

The Saxo bank is a bank which specializes in online trading and investments. Saxo bank in its latest forecasts have concluded the expansion / increase in the price of Bitcoin. In the months before and after the halving, the price of Bitcoin essentially doubled.

Long gone are the days where you could get 5000 Bitcoins for £20. During 2015 prices were quite suppressed at £150 GBP a coin, beginning to significantly increase in the months before and after the 2016 Bitcoin Halving.

The Saxo bank predicts the arrival of Donald trump will cause the U.S budget deficit to double and in doing so, a rapid increase in inflation. This is where Bitcoin has its strength, as it was intended to be deflationary with controlled supply. No one banking entity can randomly print them for its own ends, the network rules can only be changed by consensus of more than half the nodes on the network.

This is likely to cause china to look for alternatives to transacting in the U.S dollar, which has already lost over 95% of its value since the 1920s.

There is only so much money which can be printed out of thin air with nothing backing it, until it collapses, says Jacob Mayes, writer for betbybitcoin. It is my opinion that the continuous printing of money out of thin air is creating a bubble, a house of cards which will come down. I do feel that china is likely to look for alternatives than payment in U.S dollars at some stage, due to the fact they are becoming essentially worthless.

Saxo bank feels like it will give rise to cryptocurrencies like Bitcoin, and once the banking system admits to this the price of Bitcoin is likely to see a big increase, in the opinion of Saxo bank.

The election of Donald trump has caused economists to fear, however with backups like Bitcoin and other cryptocurrencies, the public and businesses have a way to transact that is partially shielded from problems with the banking system, provided it is further implemented by retailers and other companies as a method of payment. This unlike the traditional banking system works across borders as well.

Bitcoin has not reached the price heights of the major bubble in 2013, but it is not far off from potentially stabilizing at this price. The Saxo bank seems to feel Bitcoin has its place in the financial system, and they seem to have firm opinions on this matter. We will update as more news becomes available on this matter.