Bitcoinâs path to reaching $200,000 doesnât require a collapse of the US dollar.
Instead, Bitwise Chief Investment Officer Matt Hougan believes there are two key drivers that will support BTCâs upward potential, offering a compelling perspective on its future as an institutional asset.
Responding to a query about the US dollarâs impact on bitcoinâs trajectory, Hougan explained that investing in it entails making two concurrent bets â one that it will solidify its status as a new âstore of valueâ asset, and another that governments will abuse fiat currencies, thereby increasing demand for alternatives.
He pointed out that BTC currently represents approximately 7% of goldâs market cap, valued at $18 trillion. If bitcoin were to mature to capture 50% of goldâs market share, its value could soar to over $400,000.
On the other hand, if the overall âstore of valueâ market expands and bitcoin maintains its current market share, each BTC could still reach $200,000 if this market triples.
The Bitwise CIO further elaborated that these arguments are interconnected; should bitcoin continue to mature and the store of value market double, the potential price could reach seven figures.
He concluded that while the US dollarâs collapse isnât necessary for bitcoin to hit $200,000, Its maturation as an institutional asset is crucial. With growing evidence supporting both arguments, Hougan suggests that bitcoinâs trajectory is on the rise, pushing it toward new all-time highs.
While bitcoinâs trajectory toward $200,000 largely hinges on its maturation as a âstore of valueâ asset, similar market forces are also driving renewed interest in traditional safe-haven assets like gold.
Investor concerns over inflation, international tensions, and economic instability are driving a renewed focus on gold as a haven asset which soared to a new peak near $2,800. The final stretch of the US presidential election â featuring Republican Donald Trump and Democrat Kamala Harris with contrasting economic agendas â is also amplifying goldâs appeal as a safeguard against uncertainty.
The post Bitcoinâs Path to $200,000 Doesnât Depend on Dollarâs Demise, Claims Bitwise CIO appeared first on CryptoPotato.
Instead, Bitwise Chief Investment Officer Matt Hougan believes there are two key drivers that will support BTCâs upward potential, offering a compelling perspective on its future as an institutional asset.
Institutional Maturity
Responding to a query about the US dollarâs impact on bitcoinâs trajectory, Hougan explained that investing in it entails making two concurrent bets â one that it will solidify its status as a new âstore of valueâ asset, and another that governments will abuse fiat currencies, thereby increasing demand for alternatives.
He pointed out that BTC currently represents approximately 7% of goldâs market cap, valued at $18 trillion. If bitcoin were to mature to capture 50% of goldâs market share, its value could soar to over $400,000.
On the other hand, if the overall âstore of valueâ market expands and bitcoin maintains its current market share, each BTC could still reach $200,000 if this market triples.
The Bitwise CIO further elaborated that these arguments are interconnected; should bitcoin continue to mature and the store of value market double, the potential price could reach seven figures.
He concluded that while the US dollarâs collapse isnât necessary for bitcoin to hit $200,000, Its maturation as an institutional asset is crucial. With growing evidence supporting both arguments, Hougan suggests that bitcoinâs trajectory is on the rise, pushing it toward new all-time highs.
Gold Shines Amid Inflation Worries, Election Uncertainty
While bitcoinâs trajectory toward $200,000 largely hinges on its maturation as a âstore of valueâ asset, similar market forces are also driving renewed interest in traditional safe-haven assets like gold.
Investor concerns over inflation, international tensions, and economic instability are driving a renewed focus on gold as a haven asset which soared to a new peak near $2,800. The final stretch of the US presidential election â featuring Republican Donald Trump and Democrat Kamala Harris with contrasting economic agendas â is also amplifying goldâs appeal as a safeguard against uncertainty.
The post Bitcoinâs Path to $200,000 Doesnât Depend on Dollarâs Demise, Claims Bitwise CIO appeared first on CryptoPotato.
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