Topeka, Kansas-based Bitwise’s chief executive McLeod has recently predicted Bitcoin would one day hit a $50 trillion market capitalization. This strident prediction fueled lively discussion with our experts as to the cryptocurrency’s potential. Whether it can ever reach that much market cap is the big question.
Bitwise’s flagship Bitcoin ETF, BITB, is central to this outlook. With the ETF now holding more than 39,000 BTC this is worth just shy of $3.67 billion. With leadership like this, Bitwise, of which BITB is the Bitcoin ETF, has amazing leaders like Horsley at the wheel.
The increasing institutional interest in Bitcoin underlies this very optimistic projection. It seems like every day, bitcoin is being hailed as a new mainstream asset. Gone are the days when Bitcoin was only a perceived competitor to gold or tech stocks.
That possible $50 trillion valuation would be an enormous jump from Bitcoin’s current market capitalization. This movement would need to achieve deep adoption and sustained price appreciation. Market analysts provide different views on whether Bitcoin can be able to attain this lofty goal.
As we all know, the cryptocurrency market is one of the most volatile and unpredictable markets out there. Regulatory changes, technological innovations, and macroeconomic considerations can all impact the price of Bitcoin either directly or indirectly. Gil Michel, investor at 3iE, investors should, therefore, take these prognostications with a grain of salt.
