Nigel Green, the CEO of financial advisory firm deVere Group, says he thinks Bitcoin (BTC) will once again surge before 2020 comes to a close.
The price of the leading cryptocurrency is already up over 30% year-to-date, far outperforming the S&P 500, Nasdaq Composite and gold. Green identifies a number of narratives that could continue to fuel BTC and push it higher in the months ahead.
For starters, Green believes that the response to the pandemic from central banks will have a significant impact.
“The massive money-printing, or quantitative easing, programs currently being rolled-out by central banks around the globe devalue traditional currencies and provide a boost for other recognized stores of value, such as Bitcoin and gold.”
He also highlights the fact that the pandemic has been driving new demand for digital money, and says investors are paying attention to BTC’s potential as legitimate uncorrelated asset in times of uncertainty.
“Investors will increase exposure to decentralized, non-sovereign, secure digital currencies, such as Bitcoin, to help shield them from the potential issues in traditional markets.”
The deVere Group executive also says geopolitical events such as the rising tension between the United States and China, Brexit, and the upcoming US presidential election may also give BTC a healthy boost.
Green says that since the beginning of May, deVere has seen a surge in client interest in Bitcoin and other cryptocurrencies. That same month, BTC went through its third halving, which reduced block rewards from 12.5 BTC to 6.25 BTC and placed a spotlight on the cryptocurrency’s scarcity.
At time of writing, the value of Bitcoin is $9,762.05, according to CoinMarketCap.