The post Will Bitcoin (BTC) Price Hit $1 Million in 90 Days? Decoding The Possibility appeared first on Coinpedia Fintech News

Balaji Srinivasan, the former CTO of Coinbase, has recently garnered attention for his prediction that Bitcoin’s price will reach $1 million over the next 90 days. While many experts remain skeptical, Srinivasan believes that the ongoing global banking crisis and the impending hyperinflation will lead to a surge in Bitcoin’s value.

Bank Failures and the Redenomination of Digital Gold

According to Srinivasan, bank failures will ultimately lead to hyperinflation, making the redenomination of digital gold a more viable option than physical gold. He explained that gold held back the ability of states to wage wars in the 20th century but is no longer as relevant in the digital age.

Digitization and Confidence in Bitcoin

Srinivasan highlighted ChatGPT’s recent boom, which signed up around 100 million people in just a few weeks. While this pales in comparison to the approximately 400 million people globally holding crypto, it shows a growing interest in digital assets. He also pointed out that $42 billion was moved out of Silicon Valley Bank in just one day, indicating a growing lack of confidence in traditional banking systems.

Srinivasan believes that once people learn about the countless bank runs presided over by the Federal Reserve System, they will lose faith in the dollar system and seek a safe haven in Bitcoin. He further explained that if the Fed fails to tighten monetary policy to combat inflation due to the fear of collapsing banks, Bitcoin will become an even more attractive alternative.

The Bet on Bitcoin’s Future

Srinivasan’s $1 million bet on Bitcoin’s price increasing by 3,600% by June 16 has raised eyebrows. However, he remains confident that hyperinflation will happen quickly, and the effects will be felt across the digital realm. Srinivasan cited the digital pandemics, riots, and bank runs that have occurred in recent years, demonstrating that everything can happen quickly in the digital age.

The Shut Down of Silicon Valley Bank and Signature Bank

The recent shutdown of Silicon Valley Bank and Signature Bank, two banks specializing in tech and startup company lending and crypto-friendly banking, respectively, has raised questions about the future of traditional banking systems. Barney Frank, a co-author of the Dodd-Frank banking regulation act and former US representative, served on Signature Bank’s board and believes that the bank’s closure was a warning to avoid dealing with crypto companies.