NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: WLFI Price Dips 7% As Eric Trump Leaves World Liberty Treasury Company ALT5 Sigma
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: WLFI Price Dips 7% As Eric Trump Leaves World Liberty Treasury Company ALT5 Sigma

$6 Billion in Fiat is Sitting in Crypto: $10,000 Bitcoin is Possible Without New Money

Nick Chong
Nick Chong
1 year ago
4 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

It isn’t a secret that millions, if not billions of dollars fled the crypto asset markets in 2018. Blockchain projects liquidated hundreds of millions worth of Ethereum (ETH) from the initial coin offerings, while common Joes and Jills, many of whom caught FOMO in late-2018, liquidated their Bitcoin (BTC) holdings in search for greener pastures for investing.

Simultaneously, many have anecdotally said that little to no fiat has entered this space, creating an environment where solely sell-offs are the market’s M.O. But, one investor argues that while buying pressure has evidently eased, there remain billions worth of fiat waiting to enter positions in Bitcoin, contrary to popular belief and community sentiment.

There’s $6 Billion Ready To Get Siphoned Into Bitcoin

Bitcoin bull Su Zhu, the chief executive officer of the Singapore-based Three Arrows Capital, recently took to Twitter to remark why investors should be more optimistic when looking at the state of the cryptocurrency market.

He stated that while there are billions of dollars sequestered away on the sidelines, such funds are poised to rush into the cryptocurrency space once the time is right. In fact, citing data from his sources, Su noted that crypto hedge funds and holding companies likely have $2 billion in fiat on-hand. If Tether is truly backed by U.S. dollar deposits, it, alongside its more centralized counterparts (regulated stablecoins), would be valued at $2.5 billion.

Theres an estimated $2B in cash sitting at crypto funds/holdcos. Theres another $2B+ sitting in stablecoins, and another $2B sitting at exchanges/silvergate/signature.

This is $6B fiat already onboarded to crypto to buy your bags. Imagine thinking we need new money to hit $10k.

— 朱溯 🐂 (@zhusu) February 18, 2019

Lastly, the industry researcher noted that outstanding exchange and crypto bank balances amount to yet another $2 billion, meaning that there is more than $6 billion in fiat that is “already onboarded.” Thus, Su determined:

“This is $6B fiat already onboarded to crypto to buy your bags. Imagine thinking we need new money to hit $10k.”

Su didn’t make an explicit forecast as to when such money could find its way to physical cryptocurrencies, but his message was underscored with tacitly bullish tones.

Related Reading: Tim Draper Paid $18 Million For His First Bitcoin Batch, What’s it Worth Now?

Fiat To Crypto Amplifiers

While some would argue that the math doesn’t add up, considering that the cryptocurrency market capitalization is hundreds of billions of dollars off its peak, many forget to take fiat amplifiers into account. As hinted at in a previous NewsBTC report, due to the shallow order books (low liquidity) that are a byproduct of nascent markets, U.S. dollars that enter this market have often had an amplified effect on the value of digital assets.

Although this ecosystem has matured in recent months, with the growth in on-ramps, liquidity aggregators/providers, and other offerings, many argue that fiat amplifiers still play a large role in the cryptosphere.

Per analysis compiled by Alex Kruger, a leading markets researcher, JP Morgan claims that for the crypto assets at large, a fiat amplifier of 117.5 is present, as a purported $2 billion in net inflow pushed Bitcoin’s market capitalization from $15 billion to $250 billion But, this isn’t the whole story. Citigroup purportedly estimated an amplifier of 50, while Chris Burniske of Placeholder Ventures calculated the figure out to somewhere between two and 25.

And it would be a near-impossibility to get an accurate reading of this figure, most analysts have come to a consensus that each dollar that gets siphoned into this space affects cryptocurrencies disproportionately to their nominal value.

Thus, considering a low-end amplifier of 10 times, the ~$6.5 odd billion that Su speculates is sitting on the sidelines could propel the aggregate value of all BTC up by $65 billion, pushing the cryptocurrency to just shy of $8,000. This may be short of the Three Arrow Capital head’s $10,000 pseudo-target, but the irrationality of markets may get to work where amplifiers slacked and fell short.

Copious Upside Potential

Bitcoin surmounting the $10,000 price point will evidently be a breath of fresh air for a majority of crypto investors, as 2018’s downturn put a sour taste in the mouth of many. Yet, some remain convinced that this is far from the end of Bitcoin’s story.

Per a survey conducted by Bitwise Asset Management, 55% of investment advisors surveyed believed that BTC would appreciate in value in the next five years, with predictions averaging out to $17,570. Tom Lee, the head of research at Fundstrat Global Advisors, has also been optimistic, divulging to Fox Business that he believes $25,000 for Bitcoin is “fair.”

But some have gone above and beyond the quintuple-digit range. Tim Draper, a prominent billionaire Bitcoin enthusiast, told TheStreet in September that he still believes that BTC will breach $250,000 a pop by 2022. Filb Filb, a leading crypto researcher, echoed the sentiment that copious upside is possible, using regression analysis, historical indicators, and hard numbers to explain that $333,000 for each BTC isn’t out of the realm of possibility.

Long-term price predictions are evidently all across the map, but many have argued that Bitcoin’s upside potential easily outweighs how far it could fall. Morgan Creek’s Anthony Pompliano and Mark Yusko have even explained that cryptocurrencies are the epitome of an investment opportunity with an “asymmetric risk/return profile.”

Featured Image from Shutterstock
Tweet123Share196ShareSend
Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Hoskinson

Here’s How High The Bitcoin Price Will Go If It Repeats The 2017 Cycle

The Bitcoin bull cycles have always been similar in the fact that each one has always ended with the Bitcoin...

Scott Matherson 1 hour ago
Chainlink

Institutional Adoption Rises: 21X Brings Chainlink Into Europe’s Tokenized Securities Market

Chainlink’s price is wrestling with key support near $21, a level that has drawn heavy attention from traders and institutions...

Christian Encila 3 hours ago
BTC, Bitcoin

Bitcoin Breakdown Averted? Analyst Says This Level Will Determine BTC’s Fate

After retesting the range lows, Bitcoin (BTC) has closed the week above a key area, momentarily preventing a breakdown to...

Rubmar Garcia 4 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Το Dogecoin πλησιάζει το $1 – Ελπίδες για νέο ράλι ανόδου στην τιμή

Ιωάννης Ριζόπουλος 35 minutes ago
eth-btc-bataille-volumes-spot-ethereum-avantage

ETH vs BTC : la bataille des volumes spot tourne en faveur d’Ethereum

guillaumev 1 hour ago
First Solana Treasury Nasdaq Listing Just Sent Shockwaves—STKE Debut Fuels Snorter’s $3.82M Presale Frenzy

First Solana Treasury Nasdaq Listing Just Sent Shockwaves—STKE Debut Fuels Snorter’s $3.82M Presale Frenzy

Aaron Walker 1 hour ago

Premium Sponsors

Press Releases

  • Институционалните покупки на Биткойн пресъхват, докато най-бързият слой-2 Bitcoin Hyper (HYPER) достига $14,4 млн. в предварителната продажба

    Институционалните покупки на...

    47 minutes ago
  • Inštitucionálne nákupy Bitcoinu vysychajú, zatiaľ čo jeho najrýchlejšia Layer-2 sieť Bitcoin Hyper (HYPER) dosiahla v predpredaji 14,4 milióna dolárov

    Inštitucionálne nákupy Bitcoinu vysychajú, zatiaľ čo...

    2 hours ago
  • LET Mining

    LET Mining: The leading cloud mining platform, helping XRP...

    11 hours ago
  • miner

    XRP Forecast: ALL4 Mining Launches Upgraded App to Ensure...

    15 hours ago
  • První mine-to-earn meme coin PepeNode získal 900 000 $ v předprodeji – zbývá jen 7 hodin ve fázi financování

    První mine-to-earn meme coin PepeNode získal 900 000 $ v...

    19 hours ago

Newsletter

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.