Marion Laboure, an analyst at Deutsche Bank Research and author of Democratizing Finance, says that the value of Bitcoin (BTC) will continue to rise based on people's perception of value.
Laboure in an interview; She said that while talking about btc, you should also consider the value of jewellery. She pointed out that diamond prices have increased in the last 50 to 70 years and how the perception of value around jewelry has changed.
Marion Laboure says the Tinkerbell effect, which defines things that are thought to exist only because people believe, plays an important role in determining the value of BTC and other cryptos.
Marion Laboure believes that the price of BTC over the years is determined by four factors. According to Laboure; The first factor is psychology. Laboure believes that as in the case of diamonds, the price of BTC and other cryptocurrencies will rise based on people's perception of value.
The second factor is demand and supply. Marion Laboure believes that the price of Bitcoin will continue to rise as demand for BTC, which has a fixed cap of 21 million tokens, increases. As of May 28, more than 90% of the BTC supply is in circulation, which indicates that the demand for BTC will increase exponentially.
Another aspect is the new crypto regulations that Laboure believes are coming soon. Moreover; Laboure pointed out that clear guidelines in the emerging asset class could help more users. Regulators and legislators have previously called for a reorganization of the crypto space, especially after the collapse of TerraUSD (UST) and Terra (LUNA).
Finally, he stated that the crypto market has been volatile for many years and this is not likely to change anytime soon. Laboure believes that the regulations will help increase the liquidity of the crypto space, thereby reducing volatility.
Laboure said in his closing speech that financial literacy is also essential for a thriving crypto economy. She pointed out that the market needs a lot of data and people need to learn the differences between various crypto projects. Laboure said it is crucial to distinguish between BTC, which is the oldest and largest crypto by market capitalization, and new entrants, in particular.