beincrypto.com 09 June 2023 17:10, UTC Reading time: ~3 m
Is it already too late to invest in Bitcoin (BTC)? Or is it still worth buying the cryptocurrency? The Winklevoss twins believe that Bitcoin remains one of the best investments of this decade.
According to the Winklevoss twins’ predictions, Bitcoin will surpass $500,000. But what is their reasoning behind such predictions?
Winklevoss Twins Have Invested in Bitcoin for 11 years
According to their own statements, Tyler Winklevoss and Cameron Winklevoss accidentally discovered Bitcoin in 2012 while on summer vacation in Ibiza.
The two Americans then began to research the cryptocurrency further. They quickly realized that BTC had a chance to become the money of the internet and solve numerous problems of the current financial system.
The twins first invested in BTC when the price was below $10. As such, there is speculation that they are among the biggest Bitcoin whales out there. Also, Tyler and Cameron Winklevoss’ net worth is estimated to be around $1.2 billion each.
After losing numerous BTC in the crash of the then-largest crypto exchange Mt. Gox, they founded their own crypto exchange, Gemini. The exchange ranks 16th in BeInCrypto’s rankings of the best crypto exchanges.
However, the Winklevoss twins are not deterred by the current crypto winter. They remain long-term bullish on BTC and stick to their prediction about Bitcoin remaining the best investment of this decade.But how did the two billionaires come to this assumption?
Bitcoin to Surge to at Least $500,000
In a recent interview with The National News, the twins explained why they remain convinced of the future of cryptocurrency. The main reason is the revolutionary and technical properties as well as the potential of Bitcoin to act as a store of value similar to gold.
In addition, cryptocurrency has other advantages, mainly through programmability.
Hence, the Winklevoss brothers believe that Bitcoin could even replace the precious metal in the long term. Tyler Winklevoss says:
“If you look at the properties that make gold valuable, Bitcoin matches each attribute or does better. The gold disruption story of Bitcoin is super powerful. We believe in it”
Tyler Winklevoss explained his reasoning for the $500,000 price:
If you do the math, 21 million in the supply of Bitcoin, the market cap of gold, let us say it is $10 trillion, maybe it is $11 [trillion], somewhere in that ballpark, that puts one Bitcoin – if it disrupts gold, and gets that market cap – at $500,000.
The two brothers did not want to give specific investment tips – after all, it is difficult to time the market exactly. However, Cameron Winklevoss reveals the strategy they use, which is generally the simplest, is: HODL
Generally speaking, if you subscribe to Bitcoin being a store-of-value type investment, then that strategy is HODL [hold on for dear life]. The same way you would HODL gold. It is a buy and hold long-term investment.
According to the two brothers, predicting when the Bitcoin price will hit $500,000 is difficult. But they believe that BTC will hit the milestone within a decade.