By CCN: Bitcoin is 2019’s best-performing asset thanks to the massive rise in the price of the cryptocurrency, and a growing chorus on Wall Street proclaims that BTC’s terrific momentum won’t be dying out anytime soon.

Bitcoin price has breached the $6,000 mark and is on its way higher | Source: CoinMarketCap

Canaccord Genuity, an investment banking and wealth management company based out of Vancouver, published a research note predicting that the price will gradually climb back to $20,000 by March 2021.

“Bitcoin has started to form the spring 2019 bottom we began mentioning last year, although a close look at the chart suggests the recovery may be slightly ahead of itself. Looking ahead, if bitcoin were to continue following the same trend, the implication is a slow climb back toward its all-time high of ~$20,000, theoretically reaching that level in March 2021.”

Canaccord: Data Indicates Rising Demand for BTC

Canaccord analysts based their bullish bitcoin price forecast on key variables that indicate an uptick in demand.

The first is BTC’s daily estimated transaction volume, which has shot up to $801 million so far in May, compared to $743 million in April and $521 million in March. This is the highest daily estimated transaction value of bitcoin since November 2018.

Don’t be surprised if the number goes higher as we are still in the second week of May, and global economic tensions could boost bitcoin demand and price.

The second parameter Canaccord highlights is the rising number of confirmed transactions per day.

So far this month, the number of confirmed transactions averages 387,000 on a daily basis, compared to 366,000 transactions last month. What’s more, the May figure is a big jump over March 2018 when the number of bitcoin transactions had averaged just 185,000 per day.

Canaccord also noted that the average transaction size, which is calculated by dividing the daily estimated transaction value by the number of confirmed transactions, is at $2,047 thus far in May. This value was nearly 15% lower just a couple of months back.

Institutional Adoption Remains Crucial

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