Rich Dad Poor Dad author explains why bitcoin will see $50,000 next year
According to Robert Kiyosaki, author of the best-selling „Rich Dad Poor Dad,“ Bitcoin is headed toward $50,000 in 2021
The price of Bitcoin (BTC) will reach $50,000 in 2021, says best-selling author Rich Dad Poor Dad, Robert Kiyosaki.
Kiyosaki reported that an „institutional wall of money“ will come into Bitcoin in 2021, potentially pushing the price even higher.
Why does Kiyosaki talk about institutional interest in Bitcoin?
In addition to being a writer, Kiyosaki is a real estate mogul and precious metals investor. He has historically favored various value stocks, including silver.
Based on institutional inflows into Bitcoin, Kiyosaki explained that BTC below $20,000 is ideal, as the next target is at $50,000:
„I’m happy to have bought Bitcoin. Next stop $50,000. A lot of institutional money will come in 2021. Buy below $20,000. If you missed Bitcoin, buy silver. Silver is poised to move because of AOC’s Green New Deal. America is in trouble. The future is bright for gold, silver, Bitcoin and entrepreneurs.“
If Bitcoin reaches $50,000, its market cap will correspond to $928 million, or about 10.3% of that of gold. Bitcoin Loophole is well positioned for a rally in the coming months due to its low correlation with the stock market.
Often, traditional safe-haven assets, such as gold, pull back when U.S. stocks plot upticks. In the case of BTC, the correlation with U.S. stocks is relatively low: the cryptocurrency has therefore experienced strong bullish trends even as the value of stocks has risen.
For example, in the last 24 hours the price of Bitcoin has increased by about 4.5%, touching a gain of 6.5% at the daily peak.
BTC’s movement occurred in parallel with that of gold, as Asian markets plummeted and U.S. stocks tracked a slight retreat. Holger Zschaepitz, market analyst at Welt, commented:
„Asian equities saw a correction along with European and U.S. futures after a mixed session on Wall Street, characterized by caution on economic risks related to anti-virus measures and ongoing fiscal stimulus negotiations in the U.S. US 10-year bond yields are below 0.9%. The dollar is stable with the euro at 1.2153. Gold rises to $1839. #Bitcoin at $19,100.“
The lack of correlation between Bitcoin and U.S. stocks is likely due to two factors. First, when risk assets go up, BTC benefits from overall growth in investor interest.
Second, stocks have risen in recent months due to unprecedented liquidity injections from the central bank. Relaxed financial conditions benefit Bitcoin as investors resort to hedging against inflation.
Trading activity on the CME and Grayscale continues to grow.
Open interest in the CME’s Bitcoin futures market hovers around $1.07 billion, not far behind OKEx and Binance Futures.
The data shows that institutional demand for Bitcoin is so high that platforms focused on these participants are outpacing major retail exchanges in terms of open interest and trading volume.
Additionally, Grayscale surpassed $13 billion in assets under management on December 15, indicating a large increase in institutional inflows into Bitcoin.
„Record AUM for Grayscale – $13 billion.“
It appears that institutions are rapidly accumulating Bitcoin as a result of investments touted by high-profile figures such as MicroStrategy, Square and MassMutual. The result, as reported by Cointelegraph, is aggressive buying pressure in both futures and options markets.