The head of a Swiss bank has predicted bitcoin will hit new record highs in 2022, based on his firm’s analysis.
Seba CEO Guido Buehler said the cryptocurrency could reach as high as $75,000 over the next 12 months as more institutional investors embrace it.
Speaking to CNBC at the Crypto Finance Conference in St. Moritz in Switzerland on Wednesday, Mr Buehler forecasted a potential new all-time high above the $69,000 levels BTC experienced in November.
“Our internal valuation models indicate a price right now between $50,000 and $75,000. I’m quite confident we’re going to see that level. The question is always timing,” he said.
“Institutional money will probably drive the price up. We are working as a fully regulated bank. We have asset pools that are looking for the right time to invest.”
Bitcoin is currently trading at around $43,000, having briefly dipped below $40,000 at the start of the week following the worst start to a year since 2012.
The losses pushed bitcoin perilously close to falling below the so-called “death cross”, when the cryptocurrency’s 50-day moving average falls below its 200-day moving average.
This ominous-sounding event typically signals a long-term bear market, with previous examples including the Wall Street Crash of 1929 and the 2008 Financial Crisis.
So far bitcoin has managed to avoid this outcome, while the slight bounce in recent days has given investors hope that $40,000 is the bottom of this dip. The price acted as an important psychological level throughout 2021, typically seeing strong resistance.