VC investor: 5 'insanely bullish' reasons why bitcoin will see big momentum

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According to James Todaro, a managing partner at Blocktown Capital, a cryptocurrency investment firm, five charts present "Insanely bullish" cases that may fuel the long term growth of bitcoin in the years to come.

Steady growth of bitcoin over the past ten years that dissolve claims of a bubble.

Bitcoin is accessible by both institutions and retail investors.

Despite the exponential growth of bitcoin since 2009, Todaro noted that the cryptocurrency still remains relatively small in size when compared with reserve currencies, indicating that the asset has a large room to grow and evolve in the medium to long term.

"On the scale of a global currency, bitcoin is still small, just passing the Colombian peso and New Zealand dollar in market cap, and is still far from the market cap of gold. There is tremendous room for bitcoin to grow into a global store of value," said Todaro.

What bitcoin needs to supplement growth and sustain momentum.

While the cryptocurrency has seen an exponential rate of growth since its inception and is yet to see enough mainstream adoption as said by Todaro, bitcoin will only be able to sustain its current rate of growth if the infrastructure supporting the asset improves proportionally.

So far into 2019, Bakkt, the first physically-settled bitcoin futures exchange is set to open by the end of September, CME Group is planning to offer options on BTC in early 2020, and other trading venues such as ErisX have emerged with the approval of U.S. authorities.

The increase in the number of trading regulated trading venues that support both institutional investors and retail investors is likely to lead to a rise in the probability of the long term success of bitcoin and cryptocurrencies as an asset class.

"Returns over 10,000% were previously only available to accredited investors and VCs in the form of private equity deals. Bitcoin levels the playing field, allowing anyone to invest with the opportunity for tremendous gains," he said.