- Jurrien Timmer, director of global macro at Fidelity Investments, predicted Wednesday that Bitcoin (BTC-USD) could reach $100K by 2023, saying that his supply and demand models for the crypto intersect at that level.
- In an interview with CNBC, Timmer also characterized the recent upswing in Bitcoin as a "pretty sustainable move" that was not driven by momentum traders.
- "My sense is the trajectory is up and so far there really is no evidence that this is a bunch of momentum chasers," he said.
- Looking longer-term, Timmer doesn't see Bitcoin as a threat to the U.S. dollar or to the dollar's status as the world's reserve currency.
- Timmer noted that Bitcoin (BTC-USD) generally exists as a store of value at this point and won't develop into something more resembling a currency until it also receives wider acceptance as a medium of exchange.
- Turning to other markets, the Fidelity director of global macro said the stock market is experiencing a "wobble" as it moves into the mid-cycle of the recovery and faces tough seasonal influences.
- Eyeing the dynamics in the bond market, Timmer predicted that the 10-year Treasury yield could rise to 2% in the next month as the U.S. government looks to issue new supply just as the Federal Reserve begins to taper its purchases of Treasury bonds.
- Looking at the recent price action in Bitcoin (BTC-USD), the crypto traded below $42K in late September before rallying to a level near $58,000 in recent days.
- On Wednesday, Bitcoin slipped about 1.2% to reach around $55,786 at about 11 AM ET.
- The crypto has risen about 25% in the past month, substantially outperforming the S&P 500, which has dipped about 2% over that period:
Recommended For You
More Trending News
See More »