Hedge fund manager Mark Yusko predicts that the price of Bitcoin will more than double this year, reaching $150,000.
“Starting from scratch,” the CEO and chief investment officer of Morgan Creek Capital Management told CNBC’s “Fast Money” this week.
Yusko believes investors should allocate at least 1% to 3% of their portfolios to Bitcoin. “Bitcoin is the king. It’s the dominant coin. It’s a better form of gold,” he said.
As of Thursday’s market close, Bitcoin An increase of approximately 159% compared to last year. The stock broke through the $73,000 level in early March, but was trading around $70,700 late Thursday.
“The law of large numbers kicks in. I think it could easily grow 10x from here over the next decade,” Yusko added.
He cited the launch of a Bitcoin exchange-traded fund in January as a major bullish driver for the cryptocurrency. Yusko expects the Bitcoin halving to cause a supply shock, bringing a new wave of major momentum to the flagship cryptocurrency.
The halving is expected to take place at the end of April, when Bitcoin mining rewards will be cut in half to limit supply.
“The big changes happened after the halving,” Yusko said. “By the end of the year, it starts to get more… parabolic. And, historically, it’s about nine months after the halving, so sometime around Thanksgiving, Christmas, we’ll see prices before the next bear market. Peak.”
Yusko’s company is also involved in cryptocurrency online trading platforms Coin library. “We think big things are going to happen at Coinbase,” he said.
Coinbase’s stock price has risen nearly 321% in the past 12 months.
Revealed: Yusko’s company owns Bitcoin, Ethereum, gold, Coinbase and Nvidia.
