This Upcoming Catalyst Could Ignite Bitcoin Rally To $200K Per Coin

SkyBridge Capital’s Anthony Scaramucci believes the upcoming Bitcoin BTC/USD halving could send Bitcoin prices surging to $200,000 and beyond.

What Happened: Tuesday on CNBC’s “Squawk Box,” Scaramucci laid out the bull case for Bitcoin.

“If you look at the last 14 years, you usually get a quadruple after a halving,” Scaramucci said.

The next Bitcoin halving is set to take place in April. A halving event takes place every four years and reduces the rewards miners receive for successfully mining Bitcoin by 50%. Crypto markets have historically rallied in the months that follow a halving event.

Bitcoin has soared in recent months and is now within 15% of its all-time high of $68,982. Prices were hovering around $63,138 at last check.

Scaramucci told CNBC that the recent surge in Bitcoin is likely due to limited supply and increasing demand on the back of recently approved spot ETFs. It’s also probably a little bit of a short squeeze because there are still a lot of people out there that don’t believe in Bitcoin, he said: ‘They’re getting wrecked right now.”

If Bitcoin were to be trading around $50,000 when the halving takes place around April 20, that would imply a price of $200,000 per Bitcoin about 18 months later, Scaramuccci said.

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Why It Matters: There’s also a fundamental case to be made for Bitcoin longer term. Gold is a $16 trillion asset and Bitcoin has a lot of the same properties of gold, he said, adding that he believes Bitcoin is better than gold because it’s easier to move around. Regardless, Bitcoin should be valued at at least half of gold by 2030, which would put prices about eight times higher than current levels, he said.

“If you do the homework, even if you are wrong short term, stay in something and you’ll likely be rewarded if you’ve got the thing right on fundamentals,” Scaramucci said.

Finally, the Federal Reserve has been a “little bit of a drunk driver” with money going back to 1971 when the U.S. abandoned the gold standard, he said. The U.S. dollar has lost 98% of its purchasing power over the last 52 years, he added.

Scaramucci recommended that everyone read professor Niall Ferguson‘s “The Ascent of Money.” The book touches on many of the points that Scaramucci referenced and can help those unfamiliar with crypto understand that “this decentralized fully transparent currency is definitely going to rise in value,” he said.

See Also: Bitcoin Crosses $60,000: Is The Crypto Winter Officially Over?

$BTC Price Action: Bitcoin was up 10.6% over a 24-hour period at $63,138 at the time of publication, according to Benzinga Pro.

Image created using artificial intelligence with Midjourney.