Jesse Powell, the outspoken CEO of US cryptocurrency exchange Kraken, recounts a price prediction for bitcoin (BTC) during an interview with Bloomberg on March 31:
Powell calls forecasting the bitcoin exchange rate in dollars flawed due to the inflationary nature of fiat currency:
“For the crypto community, I think these types of assets are easier to use relative to bitcoin because you never know where the dollar will be. There could be 10 times as many US dollars next year, so it is very difficult to measure the value of bitcoin against the dollar. ”
So instead of in dollars, Powell predicts the price of bitcoin in luxury sports cars. Currently, bitcoin’s price is around 1 BTC for a Tesla Model 3. According to Powell, 1 BTC will be worth a Lamborghini, or Lambo, by the end of this year, and 1 BTC will be worth a Bugatti by the end of 2022.
However, that doesn’t make it any clearer or easier. A Lamborghini normally costs anywhere from $ 200,000 to $ 500,000, depending on the model. Prices for a Bugatti only start at $ 1.5 million, but are usually around double and can go as high as $ 20 million.
Powell also briefly spoke about Ethereum (ETH). He mentions the move to Ethereum 2.0 and that investors are locking their ETH. This will lead to a decrease in the supply and will lead to an increase in the price. He also says more and more projects are popping up on Ethereum, such as the exploding non-fungible token, or NFT, market.
He also calls Polkadot (DOT) the “next Ethereum.” Powell thinks more and more Ethereum projects will be migrated to Polkadot due to the lower transaction costs.