Bitcoin’s highly volatile nature is no secret to the world. Its price reaches a skyrocketing point at a time and drops with a quite similar pace, the next moment. Where some crypto fanatics like John McAfee had predicted the price of Bitcoin to reach $1 million by 2020, a Harvard economist believes that Bitcoin is “more likely to be worth $100 than $100,000” by 2028.
A Harvard university’s professor and economist, Kenneth Rogoff has been recently interviewed by CNBC‘s Squawk Box in a cryptocurrency debate. Rogoff believes that Bitcoin’s downfall will not occur instantly and it would take more than a decade. According to him,
“I think bitcoin will be worth a tiny fraction of what it is now if we’re headed out 10 years from now … I would see $100 as being a lot more likely than $100,000 ten years from now.”
Where Bitcoin had already been associated with illicit cash and illegal activities, Rogoff believes that the number of those activities is going to drop eventually in coming years and thus this will ultimately lead Bitcoin to a downfall. He believes the Bitcoin’s skyrocketing price is very much dependant on money laundering, as he states; “Basically, if you take away the possibility of money laundering and tax evasion, [Bitcoin’s] actual uses as a transaction vehicle are very small.”
Rogoff also indicated that the regulations by various governments in the crypto’s ecosystem will also effect Bitcoin’s price badly. However, he also noted that it would take time to develop a global framework of regulation.