The CEO of popular cryptocurrency trading platform Kraken has reaffirmed he believes the price of bitcoin will hit $1 million in the next few years over monetary policy that has been seeing the supply of circulating fiat currency.
During an interview on the H3 podcast, Powell answered some questions about bitcoin’s environmental impact, the cryptocurrency’s role in the financial system, and more. He revealed that when BTC was trading at $1, he made a mistake, investing $100,000 in mining equipment instead of investing in BTC itself.
Later on, as Daily Hodl wrote, Powell noted that he sees the price of bitcoin going from $500,000 to $1 million in the next few years “easily” over monetary policies such as quantitative easing that could lead to inflation or currency debasement.
It’s still early. I think so, I think Bitcoin is going to be $500,000 easily within the next few years. Look at how much money printing’s going on. Easily we’re going to hit a million dollars in Bitcoin.
When asked if he would recommend investing in the cryptocurrency, he said the podcast’s listeners should “at least dabble in it” by putting between 1% to 10% of their portfolios in the cryptocurrency. He would not recommend, however, investing money they need to pay expenses: “don’t bet your rent money, don’t bet your food money on Bitcoin, but if you have a portfolio of investments you should absolutely have some bitcoin in there.”
When asked about the thousands of altcoins that have been created, Powell likened the cryptocurrency space to the stock market, advising investors to stick to the biggest names as they would if they were investing in stocks.
Brand names like Apple, Google, and Facebook are popular and safe bets, and he said that the same is true for both bitcoin and ether. Those that do not know what they are doing or are “not some super deep Wall Street analyst” should now buy low-cap altcoins based on potential being sold to them.
Don’t pay attention to all the new things coming out constantly. Just stick to Bitcoin and Ether. If you want to be super safe, I think Bitcoin and Ether are super safe bets. Everything else, it gets more exotic and you get higher returns with more risk, but I wouldn’t look at other things.”
As CryptoGlobe reported, Powell first revealed he believes the price of bitcoin could hit $1 million over the next 10 years earlier this month in an interview with CNN. Over the long term, however, the CEO sees BTC going much higher, “to infinity.”
At the time, when asked about a recent funding round in which the company’s valuation has risen to $10 billion. Responding to the funding round’s valuation, Powell said he personally believes $10 billion is a “low valuation” and he would “not be interested in selling shares at that price. He also said Kraken is “certainly on track to go public.”