Giant Swiss Bank Predicts Bitcoin Price Will Hit $75k In 2022
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The first week of 2022 has not been great for Bitcoin price. However, one banking CEO believes 2022 is set to be the best year for the world’s leading crypto coin by market cap. According to the CEO of Seba, the giant Swiss bank, the price of Bitcoin could hit $75,000 in 2022.

Details of the BTC Price

Guido Buehler, the CEO of Seba, told a CNBC reporter that he was quite confident of his $75K BTC price prediction. During the January 12, 2022 interview, Buehler stated that internal valuation models at the bank had predicted the price of BTC would be between $50K and $75K in 2022.

Buehler believes that one of the biggest drivers of BTC price in 2022 will be institutional investors. He added that the bank was working with asset pools, which were looking for the right time to invest in crypto. However, the CEO added that the high price volatility would continue in 2022. Bitcoin reached its last all-time high in 2021 when it hit $69,000. However, the price has since plunged to under $40K in the first week of 2022.

Crypto Regulation

The Seba CEO also discussed the issue of regulation. According to Buehler, the bank worked closely with regulators to create a model for AML and KYC compliance. Consequently, they were able to get the necessary approval needed to offer BTC services to their clients. Institutional investors who work with the bank would thus be working with a fully regulated entity.

One of the major reasons why many institutional investors remain averse to crypto investments is the lack of regulatory clarity. As a result, most feel that the risk is too high, and have opted to remain outside the crypto markets. However, that will likely change towards the end of 2022 and beyond. For instance, in November 2021, US Federal agencies issued a joint statement regarding crypto regulation. In the statement, they indicated that they were working on comprehensive rules for the crypto sector.

What Could Drive Crypto Prices in 2022

While institutional investors will undoubtedly play an important role in driving up BTC prices, the biggest driver remains retail investors. This trend is likely to continue in 2022 as more people learn about the crypto sector. It is also worth noting that more retailers are willing to accept crypto. For instance, a recent survey by Visa found that almost 25% of small businesses across nine countries planned to start receiving crypto payments in 2022.

As Bitcoin acceptance continues to grow, this will increase demand for the crypto coin. The result could be a new all-time high. However, as the Seba CEO has predicted, it is likely to be yet another volatile year for the crypto markets. Consequently, crypto investments should be approached cautiously.

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