Even though Bitcoin has dropped greatly from last year’s peak, it still continues to exceed expectations with its strong hold on the community. However, in order to supplant the dollar, Bitcoin’s price must hit $213000, according to a report from UBS.
Today, Bitcoin stands at a marketcap of $128 Billion, which is similar to the M1 supplies of countries such as the United Arab Emirates and Turkey. While it is quite high, it remains far from replacing the American dollar, which has $3.63 trillion worth in circulation.
It remains highly doubtful that Bitcoin can reach the USD’s M1 valuation. UBS stated that Bitcoin as too unstable as well as too limited to become a viable replacement for the dollar in global transaction or a mainstream asset class.
It remains strange criticism because to even the most die hard Bitcoin support would agree that Bitcoin cannot replace the dollar at its current valuation and current level of development.
If Bitcoin does one day replace the USD, then Bitcoin only continues what it has been doing, exceeding expectation.