What's the Future of Bitcoin in 2022? Some analysts are bullish on it hitting $100,000

The cryptocurrency industry is thriving in 2021, with Bitcoin recording gains of more than 60% for the year, beating the U.S. Standard & Poor's 500 Index over the same period, despite falling into a bear market last December. As for what the outlook for bitcoin is for 2022, some analysts believe the cryptocurrency is likely to hit $100,000 by mid-year.

Trenchev, co-founder of cryptocurrency lender Nexo, said in an interview on Monday local time that bitcoin could rise further during the year and the currency could soar to $100,000 by mid-2022.

Trenchev explained that there are two main reasons that could drive bitcoin higher. On the one hand, institutions are building positions in bitcoin, with companies such as MicroStrategy and Square already buying large amounts of bitcoin. On the other hand, he predicts a lot of liquidity to continue this year, despite the fact that the Federal Reserve is likely to raise interest rates this year.