A new report suggests that an increase in the number of people that make automated recurring Bitcoin purchases might eventually grow to a point where they can make a $1 million per BTC price a reality.
The report termed the buyers who can achieve this feat as “The DCA Army” using Auto-DCA (Daily Charitable Act) Bitcoin buyers as opposed to the more popular dollar-cost averaging (DCA) buyers.
The theory is that the “DCA Army” actively supports Bitcoin frequently through long-term automated buying of Bitcoin at regular intervals, either daily, weekly, or monthly.
Research shows that there are more than seventy million Bitcoin owners presently, although not all of them are auto-DCA buyers and there is no clear data regarding how many people are using the auto-buy feature to buy Bitcoin.
However, for one Bitcoin to be sold at $1 million, the report highlighted some events that should happen, all of which were based on assumptions.
Prime among the requirements is that all bitcoins bought by an assumed seventy million members of the DCA Army will reside on an exchange between a maximum period of three months after the initial purchase to a minimum of a five-year period from the date of purchase.
Due to the popularity of auto DCA-exchange platforms, all should be able to withdraw in a cheap and timely fashion, perhaps via the Bitcoin Lightning network.
The report argues that the sustained action of continuous buying of Bitcoin in the space of those five years will be crucial, with some buyers likely choosing never to convert their BTC to fiat currency ever again.
It is assumed that the entire army now dedicates approximately $700 million per day to the buying of Bitcoin. If the $700 million worth of Bitcoins being purchased in a day happens consistently for a whole year, the five weeks after that year will record massive changes in the Bitcoin market
Eventually, all available Bitcoins will be bought and held by the Auto-DCA army. When this happens, it is presumed that one Bitcoin will be sold for $777,777.77. After the next halving occurs in 2024, the price is sure to double to $1,555,555.55 per Bitcoin, the report speculates.
At its highest point, the report says, “the entire supply of bitcoin will eventually go to the zealot DCA army, bringing enough fiat into BTC that fiat ceases to exist.”
In a similar report containing outrageous bitcoin predictions, a group of analysts and investors claimed there’s still a chance that Bitcoin will reach a new all-time high of $300,000 in the 4th quarter of 2021.
