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Last November marked an important milestone for cryptocurrencies, and by extension, Bitcoin. It was the first time that the bitcoin price hit the $68,000 mark. Unfortunately, this was short-lived as it dropped below $50,000 at the start of 2022, where it has stalled until now.

However, its latest high point acts as a major increase for crypto, which started January 2021 at $30,000. The latest price drop hasn’t come as a surprise for its enthusiasts as Bitcoin prices are known to fluctuate by the day and at times by the minute.

For example, it started December 2021 at $45,000 before rising to $50,000 by 23rd December.

Even with its volatility, many crypto experts believe that a bitcoin bubble in 2022 will see its prices surpass the $100,000 mark. On the flip side, no one is sure when this may come to pass. Its prices remain susceptible to market factors compared to all other known asset classes.

Bitcoin Bubble Burst: What Are the Price Predictions For 2022?

Conservative predictions on Bitcoin estimate that it may hit the $100,000 mark by the start of 2023. Even so, certain experts have remained bullish, with most predicting that it may reach this mark by Q1 of 2022 or even much sooner.

Other experts have refused to speculate on when this may happen, choosing to focus on the crypto bubble meaning. Those in this group have pointed its ability to increase its value over time as one of its most significant advantages.

According to Jurrien Timmer of Fidelity Investments, bitcoin investors should expect a continued rise in bitcoin prices. Thanks to organic market movements, the $100,000 mark will remain in near-sight as its value increases.

Jurrien notes that the crypto may experience some volatility in the short-term and steady growth in the long term. Below are some of the notable predictions from renowned Bitcoin investors.

Ian Balina

Point of View: Founder of Token Metrics – a crypto research and media company.

Prediction: Bitcoin will surpass $75,000 by December 2021 (already passed)

Why: The available technical data shows that the $100,000 mark isn’t too far out of reach. Balina believes that investors should adopt a more conservative approach.

Mathew Hyland

Point of view: Blockchain and technical analyst

Prediction: $250,000 by the end of January 2022

Why: Bitcoin surpassing the $100,000 mark will catalyze a new bullish run, helping answer the question, “when is the next crypto bull run?” according to a post he shared on his Twitter feed. He backs this statement using the 150% move made by Bitcoin in 2017 when its prices rose from $8,000 to $20,000 immediately after the Thanksgiving holiday.

Robert Breedlove

Point of View: CEO and founder of Parallax Digital, a digital assets marketing and consulting company.

Prediction: $307,000 by the end of October 2021 (already passed) and $12.5 million by the start of 2031.

Why: The crypto bull run 2022 predictions show that the inflationary pressures brought about by the COVID-19 pandemic will cause more people to develop an interest in cryptos. These pressures will assist in increasing the value of Bitcoin, allowing it to rise higher than in previous estimates. In an interview held last year, Breedlove noted that the recent Bitcoin “halving” could lead to a price surge, which is common after such events.

Although most Bitcoin predictions have come from crypto insiders, they aren’t the only ones making predictions. Large financial companies, e.g., JP Morgan, have also made predictions of their own, many of which are informed by bitcoin bull run history.

According to the financial wizards at JP Morgan, Bitcoin may attain a high of $146,000 in 2022.

Pro Investment Tip for Bitcoin Investors

While it’s estimated that Bitcoin may break the $100,000 mark, you should remain focused on developing your overall investment portfolio. Protect yourself from a bitcoin bubble burst by investing in:

• Your retirement account (s)
• Emergency savings
• Passive index funds

Why Is Bitcoin Surging Today – What’s Influencing Its Prices?

Bitcoin prices are influenced by common economic factors, as is the case with all other investments and currencies. Examples of such factors include:

• Scarcity
• Supply and demand
• Market events
• The news cycles
• Public sentiment

Considering that it’s an up-and-coming asset, there exist other factors that may influence its value leading to a bitcoin bubble burst. They include:

1. The Scarcity of Bitcoins

Today, there are about 18 to 19 million BTCs in circulation. It’s expected that the minting of Bitcoins will stop once there’re 21 million coins. Crypto experts all agree that its scarcity is one of the things that help in making it appealing to its enthusiasts.

According to Alexis Johnson, the president of Light Node Media, an event and blockchain public relations company, Bitcoin has a fixed supply but comes with increasing demand. Others believe that crypto has value because people give it value.

Due to this volatility, many financial planners insist that investors only allocate 1% to 5% of their investment portfolio to Bitcoin and other crypto-assets. It’s the only way to protect oneself from volatility.

2. Mainstream Adoption of Bitcoin and Other Crypto Assets

The rate at which consumers are adopting crypto-assets has also helped drive the value of BTC. If you look at bitcoin bull run history, you’ll notice that consumers have adopted crypto assets at a faster pace than they did with the internet.

As more people continue to adopt it, this acceleration may assist in pushing its value higher and higher. According to financial data provided by CoinShares, the digital asset management company, consumers are adopting Bitcoin at an annual rate of 113%.

Similarly, the consumers adopted the internet at an annual rate of 63%. If people continue adopting Bitcoin at this rate, it’s estimated to have a billion users by 2024. Its user base will have reached 4 billion users by the start of 2030.

3. Regulation of the Crypto Industry

Federal officials in the US have shown that they’re paying close attention to everything happening in the crypto industry. Additionally, the president recently signed an infrastructure bill that requires all cryptocurrency exchanges to inform the IRS of their transactions.

On the same breadth, Janet Yellen, the Treasury Secretary, stated that stablecoins should become subject to federal oversight. While this conversation remains patchy, it’s clear that federal oversight and regulation will impact bitcoin prices.

For example, its prices dropped in September 2021 when China banned it. Even though regulation has evolved in the past few years, there’s always a chance that the regulators may reverse their decisions.

It’s not unheard of for them to change their mind.

4. Mining Cycles Including Halving

Another factor likely to affect prices is what industry insiders call halving. The process is algorithmic, which makes it even more complicated. Halving causes the BTC transactions to get cut into two.

When complete, it affects the rate at which new coins are allowed to circulate in the market. Depending on how it’s done, it can cause a significant impact on the crypto bull run 2022 predictions and its overall value.

A look at past halving cycles shows that they have correlated with burst and boom cycles. Bitcoin experts often attempt to predict these cycles down to twenty-four hours after a halving process has ended.

When Is the Next Crypto Bull Run—What You Need to Know

As is the case with all investments, crypto experts advise against allowing price fluctuations to guide your decision-making processes. Typically, those who invest in ETFs and passive index funds often perform better with time.

It’s why you shouldn’t invest more than 5% of your portfolio in crypto. Crypto investments should only make up a small percentage of your portfolio. And even with it, try to follow a passive investment strategy to reap from the bitcoin bubble 2022.

Given that Bitcoins are still new, try to wait and see how the crypto bull run 2022 predictions unfold before putting all your money on the line. Visit Interactivecrypto today to learn more about cryptos, Bitcoin, finance, and forex signals.

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