Bitcoin’s price recently dropped about 10% from its all-time high, now hovering just above $103,000.
The cryptocurrency market braces for a critical week as experts warn that quantum computing could threaten bitcoin’s security.
Quantum Computing Threat
BlackRock, the world’s largest asset manager, has issued a strong warning about quantum computers. Their technology could potentially break the encryption that secures bitcoin and many digital assets.
A new Google research paper reveals quantum computers might be more powerful and closer than expected, heightening concerns.
Price Impact and Market Outlook
Bitcoin surged to around $112,000 last week but has since fallen as investors watch key economic data and political events, including U.S. job reports and a major tax bill. Analysts say the coming days will be crucial for bitcoin’s direction.
Matt Mena, a crypto strategist, noted that with $7 trillion in money market funds and $2 trillion in fixed income ETFs waiting on the sidelines, even a small shift could send large investments into bitcoin.
If bitcoin breaks the $105,000 to $110,000 range, prices could rise sharply to $120,000 or even hit $138,500 by summer’s end.
BlackRock’s Role
BlackRock launched a spot bitcoin ETF in early 2024 and now controls about 3% of all bitcoin, worth roughly $70 billion.
The firm’s recent filings stress the risk quantum computing poses to bitcoin’s encryption, adding a new layer of uncertainty.
Industry Concerns
Experts warn no blockchain is ready to defend against quantum attacks, which could come sooner than 2030. This growing risk has stirred debate about bitcoin’s long-term security and value.
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