The Bitcoin (CRYPTO: BTC) price has rebounded strongly over the past seven days.
As of last night, the world's biggest token by market cap was up more than 17% for the week. Bitcoin is currently trading at US$44,411, according to data from CoinMarketCap.
And Nigel Green, CEO of global independent financial advisory deVere Group, sees significantly more gains for the Bitcoin price in March.
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Why the Bitcoin price could top US$50,000 this month
Green notes that the Bitcoin price "surged by more than US$6,000" in Monday's strong rally.
That's the token's biggest daily gain in 12 months.
And further surges may be ahead.
"As it currently stands, I can see no reason why this price momentum should falter. I think we can expect to see Bitcoin hit $50,000 by the end of this month," he says.
Green points to rising geopolitical tensions as one of the main drivers behind the Bitcoin price rise:
The Ukraine-Russia situation has caused significant financial upheaval and individuals, businesses and indeed government agencies – not just in the region but globally – are looking for alternatives to traditional systems.
As banks close, ATMs run out of money, threats of personal savings being taken to pay for war, and the major international payments system SWIFT is weaponised, amongst other factors, the case for a viable, decentralised, borderless, tamper-proof, unconfiscatable monetary system has been laid bare.
As this trend unfolds longer-term, Green says this could jeopardise the US dollar's global reserve status. Which in turn could offer fresh tailwinds for the Bitcoin price.
"Savvy investors know this and will be further increasing their exposure to cryptocurrencies before prices rise further," he says.
What else is supporting further crypto price gains?
Atop the Russian invasion of Ukraine, Green says that increased institutional adoption of cryptos will help to send the Bitcoin price higher:
The appeal of global, digital currencies in our increasingly tech-driven world is, of course, not going unnoticed by institutional investors who include credit unions, banks, large funds such as a mutual or hedge fund, venture capital funds, insurance companies, and pension funds. In fact, some reports say that institutions – who bring with them enormous capital, expertise and reputational influence – are now the dominant traders of cryptocurrencies.
Green explains the result when more institutional investors buy into cryptos. "Credibility increases, trading volumes go up and volatility goes down – this is all good news for everyday investors."
Noting that with the Bitcoin price rise, the token is now the 14th most valuable currency in the world. Green adds, "I expect it to jump further still up the rankings in coming months."
