According to Antoni Trenchev, a cryptocurrency lender Nexo, Bitcoin may see more upside and reach $100,000 in the middle 2022.

At 8:42 PM, $46,170.43 was the market price for the largest cryptocurrency in terms of market cap. Data from Coin Metrics shows that ET Monday is.

“I think [bitcoin’s] going to reach $100,000 this year, probably by … the middle of it,” Trenchev, co-founder and managing partner at Nexo, told CNBC’s “Street Signs Asia” on Monday. According to their website, Nexo claims it is the most prominent lending institution in digital finance. According to the website, the company manages assets and has issued over $6 billion of credit.

Bitcoin was a major winner of the pandemic period. It rose more than 60% in 2021 even though it had fallen from its high of about $69,000 that year. In comparison, the S&P 500 rose nearly 27% during the same period, while the Dow and Nasdaq gained 18.73% and 21.39% for the year, respectively.

Trenchev is not the only bullish person.

Some experts warn against bitcoin may be poised for a steep drop in the coming months.Professor of Finance at Sussex University Carol Alexander said that bitcoin could plummet to $10,000 by 2022. This would wipe out its gains over the last year and a quarter.

Lingering regulatory scrutinyLearn more about the industry wild price swingsThis could have an impact on bitcoin’s future prospects.

Trenchev, on the other hand, stated that there are “two simple reasons why” he expects bitcoin to make big gains.

The other is the fact that some institutions are filling their “treasuries with crypto” without citing examples. MicroStrategy is one example of companies known to have acquired large quantities of bitcoin. Square, Square, and Square are other examples.

Another reason is his prediction that “cheap money” is here to stay — which will be a boon for cryptocurrencies.

He speaks out against all expectations Federal Reserve could raise interest rates several times this year for the first time in the pandemic eraAs the U.S. central banking seeks out to fight inflation. In 2020, the Fed was one of many major central banks to take unprecedented measures in monetary easing. This helped keep financial markets alive during the initial days of the pandemic.

Trenchev acknowledged his contrarian views on monetary policy and said that most people “got it wrong”.

“I quite frankly think that as soon as we see a rate hike, it’s going to be a dip into equities and the bond market — and quite frankly, the last few years, we haven’t seen much political will to … power through any sort of correction in the traditional financial markets,” he said.

— CNBC’s Ryan Browne contributed to this report.