According to James Todaro, a managing partner at Blocktown Capital, a cryptocurrency investment firm, five charts present “insanely bullish” cases that may fuel the long term growth of bitcoin in the years to come.
The five cases are:
- Steady growth of bitcoin over the past ten years that dissolve claims of a bubble
- Every year of bitcoin’s existence shows positive returns when dollar cost averaged
- Bitcoin outperforming most tech stocks in the past ten years
- Market cap of bitcoin still small compared to other safe havens and currencies
- Bitcoin is accessible by both institutions and retail investors
James Todaro at Blocktown Capital says bitcoin has a large room to grow over the long term
All five of the cases laid out by Todaro portrayed the resilience of BTC as a currency and as a decentralized protocol throughout the past ten years, consistently processing increasing amounts of transactions in terms of the number of daily transactions and the daily value of transactions calculated based on the U.S. dollar.
Despite the exponential growth of bitcoin since 2009, Todaro noted that the cryptocurrency still remains relatively small in size when compared with reserve currencies, indicating that the asset has a large room to grow and evolve in the medium to long term.
“On the scale of a global currency, bitcoin is still small, just passing the Colombian peso and New Zealand dollar in market cap, and is still far from the market cap of gold. There is tremendous room for bitcoin to grow into a global store of value,” said Todaro.
What bitcoin needs to supplement growth and sustain momentum
Year-to-date, the price of BTC has increased from less than $4,000 to $10,000,