Former Coinbase CTO Balaji Srinivasan has reiterated his bold prediction that Bitcoin (BTC) could experience an explosive price surge of over 3,300% from current levels within the next 90 days. In an interview with ARK Invest, Srinivasan suggests that troubles in the US banking system could prompt a mass exodus of people into Bitcoin.
Srinivasan believes that Bitcoin is a free-market alternative to the centralized planning of traditional banking systems. He predicts that people will increasingly turn to Bitcoin as instability caused by the Federal Reserve continues to plague the US economy.
According to Srinivasan, the exact timeline of 90 days is uncertain, but the direction is clear. He explains that digital bank runs can happen rapidly, and people are likely to seek refuge in Bitcoin over the coming weeks, months, and possibly even years. Srinivasan sees the current climate as a true election between the US dollar and BTC, where people are voting against central planning of a very different kind.
While Srinivasan acknowledges that predicting macroeconomic trends is challenging, he points to the Fed’s increasing instability as a key factor in driving people towards Bitcoin. He likens the situation to that of a turbulent plane, where passengers are hitting the eject button and seeking refuge in the Bitcoin parachute.
Srinivasan’s prediction is certainly bold, but he believes that the speed of digital bank runs makes it plausible. He argues that while timing is difficult to predict, preparing for a potential Bitcoin surge is relatively easy. As such, it may be wise for investors to keep an eye on the market and consider diversifying their portfolios with Bitcoin in the event of further instability in the US banking system.