Crypto influencer and analyst Ben Armstrong, also known as BitBoy Crypto, has suggested that Bitcoin (BTC)‘s price could double if the $5 trillion on the sidelines of the market is poured into the crypto space.
According to him, even if only 20% of the money in cash flows into cryptocurrencies, it would cause a huge price increase in Bitcoin and other digital assets.
The famous crypto figure explained that, as more investors pour money into cryptocurrencies, it would invite even more money, creating a pump and ultimately causing the price to go up. Ben added that if Bitcoin’s price begins to go up, it would encourage more people to invest in the asset, creating a bullish trend.
Quantitative Easing, Inflation, and Bitcoin’s Price
Ben’s prediction was based on the quantitative easing policy and the reversal of the inflation trend. The expert argued that the massive injection of money into the economy, combined with the policy of quantitative easing by the Federal Reserve, could trigger a rise in inflation.
However, as inflation goes up, the dollar value goes down, causing investors to turn to alternative assets like Bitcoin. Ben predicts that, given the massive amount of cash sitting on the sidelines of the market, Bitcoin’s price could increase to $50,000, almost doubling its current value.
Bitcoin Conference: A Bullish Catalyst?
He added that Bitcoin’s price typically experiences a pump around the time of the Bitcoin conference, which is scheduled for May 18-21 this year. Last year, the pump that led to Bitcoin Miami Conference almost hit $50,000, and then Bitcoin’s price plummeted to the start of the bear market. Therefore, Ben believes that if Bitcoin experiences a pump at the conference this year, it could be the start of a bullish trend for the asset. At press time, BTC was hovering around $27,800.