One senior executive from BitPay stated in a recent interview that Bitcoin will go past its all-time high of $20,000 due to ‘unforeseen’ events. Bitcoin entered one of its, potentially, most prolific years as investors expect the end of the bear market. Combined with the reward halving event in May, a bull market is bound to be inevitable in 2020.
Interviewed by Bloomberg on Jan. 8, the chief commercial officer at BitPay predicted that Bitcoin will surely reach $20,000 in 2020. However, Sonny Singh expects that something unforeseen needs to happen in order for Bitcoin to reach that range and go beyond.
While most are led to believe that a U.S. war on Iran would drastically increase the price, which remains a valid argument based on the recent events, Singh claims that the exact reason for a bullish price surge will be unknown until the very moment Bitcoin’s price spikes.
Something unforeseen that could happen could really move it faster
Global events historically affected price trends
To back his arguments, Singh reminded us of historical price trends in times of global crises. During the time of the Greek debt crisis in 2015, the event positively affected Bitcoin’s price. A similar reaction was seen last year when the global digital currency spiked when Facebook announced that it would launch its Libra cryptocurrency in 2020.
One of the newest additions to this set of data is the recent conflict between the U.S. and Iran. As CryptoPythia reported earlier, the death of Iranian General Soleimani after U.S. airstrikes reversed Bitcoin’s bearish trend on Jan 3. Several days later, Iran took its revenge by launching dozens of missiles on U.S. bases in Iraq, leading to Bitcoin overcoming heavy resistance at $8,200.
With all the events in the past week combined, Bitcoin managed to surge 20%, making it one of the most bullish price action in recent months. Singh believes that geopolitical tension led to a small number of new investors entering the cryptocurrency sector.
“I don’t think people actually went and sold their GD stock and all that and bought Bitcoin, but I see what happens is just a little bit of people start buying Bitcoin and that, with technical trading, really bumps it up and makes it go a lot higher a lot faster.”