Kraken’s CEO, Jesse Powell, believes that the valuation of Bitcoin in the near future may soon be equal to that of Lamborghini and Bugatti. The CEO of Kraken explained his take on the prediction. He clarifies his prediction for Bitcoin emphasizing the inflationary nature of fiat currencies.
Bitcoin Valuation is Going to Infinity, said the CEO of Kraken
In response to a question asking Powell for end-of-year price predictions, Kraken’s CEO answers:
“I think I said Bitcoin is going to infinity and that’s kind of hard to comprehend because I’m measuring it in terms of dollars.”
Talking about the alternative measures for valuing BTC, Powell theorizes that the value of Bitcoin may increase from its current ‘price’ or one BTC per Tesla Model 3 to “one Bitcoin per Lambo” by the end of the year and to “one Bitcoin per Bugatti” by 2023.
Powell further added that:
“To the crypto community, I think those kinds of assets are easier to measure Bitcoin against because you never know where the dollar is going to be. There could be 10 times as many U.S. dollars out there a year from now, so it’s really hard to measure Bitcoin against the dollar.”
NFT Craze is Driving the use of Ethereum
When asked about Ethereum, Powell underlines the importance of the booming non-fungible token sector, stating: “All of the NFT activity is really driving up the use of Ethereum.”
Powell also highlighted the uncertainty of when the Eth2 overhaul will be completed. He also concerns that deposits to Ethereum’s staking contract are currently removing Ether from the supply.
Coming to the altcoins, Powell pointed that the buzz surrounding Polkadot, alluding to perceptions the network may comprise “the next Ethereum” due to scaling and fee issues.
“There are a lot of other coins that are being launched on top of this network, and I think you’ll see a lot of things that were on Ethereum be ported over to Polkadot,” he said, noting the “lower transaction fees” associated with Polkadot.