Bitcoin appears to have gotten stuck in a rut for the last several months, unable to pull itself out of the sub-$9,000 range. Iran has also recently cast doubts too, with its central bank banning financial institutions in the country from purchasing or selling the asset. One early tech investor, Tim Draper, however, believes the cryptocurrency is going places between now and 2022. Furthermore, it’s going to affect the world in more ways than we thought - more quickly, too.
Speaking at the Intelligence Squared U.S. debate, Draper, said:
“This is bigger than the internet. It's bigger than the Iron Age, the Renaissance. It's bigger than the Industrial Revolution. This affects the entire world and it's going to be affected in a faster and more prevalent way than you ever imagined.
In five years you are going to try to go buy coffee with fiat currency and they are going to laugh at you because you're not using crypto. I believe that there will be a point at which you will no longer really want any of the fiat currency.”
The bullish bitcoin investor bought 30,000 bitcoins back in 2014 during the U.S. Marshals Service auction. He says he’sl holding onto all 30,000 bitcoins, so if his prediction is correct, he’ll have $7,500,000,000 ($7.5 billion) worth of the cyrptocurrency in four years.
What gives Draper some credibility is the fact that he was previously an early investor in other businesses in the tech sector including Tesla, Hotmail, and Skype. He made good bets on all of them, given their current popularity.
Last year, bitcoin saw explosive growth reaching $20,000, but January brought price dip to below $10,000. Today, the value is just under $9,000 so it’s slightly up in the air how quickly it can attain a value of $250,000 per unit.