It has been a bumpy ride for Bitcoin (BTC 1.56%) in 2026. The world's largest cryptocurrency fell from more than $87,000 to roughly $74,000, as of April 20. That's also after a steep fall in the final few months of 2025.
The coin has been rocked by inflation concerns, the Iran war, selling by large holders, and even speculation about how the risk of quantum technology that could crack its cryptography. However, longtime investors are used to the lows as much as the highs when it comes to Bitcoin.
One top venture capitalist sees Bitcoin finding its footing and surging roughly 236% during the next 18 months.
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Bitcoin could be much bigger than a speculative asset
Tim Draper is among the legends in Silicon Valley. He's made hundreds of investments in start-ups, including Tesla in 2006, a bet that has paid off handsomely. According to Forbes magazine, Draper has a net worth of more than $2 billion.
Draper was also an early investor in Bitcoin. In 2014, he purchased more than 29,600 coins for a total price of $18.7 million, or just $632 each. He's been bullish on Bitcoin and blockchain technology ever since, and also made some prescient calls about Bitcoin during the past decade.
In 2014, Draper went on Fox Business and predicted that Bitcoin would hit $10,000 per token in three years, a call that proved extremely accurate. In 2018, Draper once again made a bold call, saying Bitcoin would hit $250,000 by 2022.
CRYPTO: BTC
Key Data Points
Although this forecast has been far less accurate, Draper is sticking to his guns. Just a few days ago on X, Draper said he still believes Bitcoin will reach $250,000 during the next 18 months, citing tailwinds including inflationary pressures and a weakening U.S. dollar. Bitcoin is viewed as an alternative currency, so it has historically had an inverse relationship with the dollar, although not always.
Previously, Draper has based his call on blockchain and how the infrastructure can be used to make most processes more efficient.
"It's really like we are going through a transformational period right now in Bitcoin and we're seeing the world eventually is going to want this because everything can be done on the blockchain," Draper said in an interview with Coinage earlier this year. "All of these middle people who are creating friction to our world economy. The lawyers, the accountants, the bookkeepers, the tax collectors, the whatever. They're all unnecessary in a Bitcoin economy."
Can Draper do it again?
Draper has a great track record, so he could certainly be right again. However, with an asset as volatile as Bitcoin, I'd caution all investors to take near- and long-term Bitcoin price predictions with a grain of salt.
There are still many questions about Bitcoin, such as whether the cryptocurrency can truly hedge inflation, and Draper's thesis regarding the ubiquitous use of the blockchain. Also, many blockchains are technically much stronger and useful than Bitcoin's, so why would Bitcoin's blockchain and the crypto benefit from this trend?
That said, investors interested in adding crypto exposure should consider Bitcoin their top choice. The coin has proven extremely resilient, has clear staying power, and could prove a form of digital gold with its 21 million finite coin supply.
I have no clue what Bitcoin will trade at during the next two or four years, but I think there is a good chance investors can generate strong long-term returns. If Bitcoin is a form of digital gold, it could also serve as a unique diversifier within an investment portfolio. I don't think investors need to make it a large position, but some exposure makes sense.
