Bill Miller was once a critic of Bitcoin, mainly because of the volatility of the digital asset. The crypto community sees former critics changing positions and embracing cryptocurrency like the rest of the world. Due to Bitcoin’s scarcity, the set of holders who could get hands on the asset is not so much, limiting the currencies market.
Miller is an investor who understands the importance of having assets, and he formerly warned those interested in the risks associated with such an investment. Even some of Bitcoin’s strongest critics now have a piece of the digital asset to increase their holdings or to diversify their asset class.
Higher prices mean lower risk for holders
The investor opined that new prices for Bitcoin could reduce the previous risk associated with the digital asset’s investment and explained that cryptocurrency’s growing prices are necessary to have lower risks for investors. Miller said if the price moves lower, the risk increases. He noted that the structure was different for the traditional asset as the risk reduces when price does.
The investor pointed out the degree to which the investment grows annually and reported that its low supply is why the price continues to grow. The demand will soon become so much more than supply, and economic laws will take place, causing the asset to skyrocket further.
Miller revealed that the demand is the primary object that will keep fueling the asset’s growth and that if demand grows, prices increase. It’s safe to note that the crypto faced a 100% increase in price linked to the greater need within a month, especially from the Institutional market.
The massive buyers might soon push out retailers from the market as billions keep moving into Bitcoin every month, and exchanges are recording more volumes than they have witnessed. Another reason the price grows is the market’s bullishness.
The investors are not willing to let go of their cryptocurrency and keep it for a long time. The expert’s analysis shows that the increased demand could mean that the asset would continue to grow scarce. The market interest increases with time as the sector grows.
Miller predicts higher prices for Bitcoin
The CEO announced that he could not directly predict the cryptocurrency nor suggest any particular figure. Still, he explained that he sees the currency growing up to 50% to 100% within one year from now.
The Miller Values founder certainly sees a higher possibility of an increase than a decrease. Despite his optimism, he noted crypto currency’s volatility and explained that prices’ instability is a source of concern. He warns investors to carefully make decisions concerning cryptocurrency due to the volatile nature of crypto.
The top executive said only risk-takers should invest in cryptocurrency, and he mentioned the corrections the assets face at some point. He said the corrections were not usually based on digital asset structure, which is different from traditional ones. The businessman is a major advocate of crypto and owns some Bitcoins.