Adam Back, who is the CEO of Blockstream and a major BTC pioneer who was at the forefront of Bitcoin Revolution said that bitcoin will be hitting a $1 trillion market capital value within two years, if not sooner. He referred to the estimates for this event happening by 2025 as “conservative”. He said this while sharing his response to a white paper published by a crypto-asset analyst working with Ark. “Conservative. I’d say bitcoin likely sees a $1 trillion market cap within 2 years, probably sooner. $1 trillion is about BTC $50k,” Back said.
The current market capitalization of bitcoin is sitting at $198.5 billion and if what Back says comes true, it will mean an increase in value by 400% by 2022. To compare, bitcoin was standing at a capital value of $114 billion in October 2018. This was two months prior to the lowest value that bitcoin fell to at that time, $3,100.
Another comparison came from Ecoinmetrics and on-chain data resource which pointed out the fact that having a $2 trillion market capital would make bitcoin equal to Apple. In such a situation, the trading value for BTC and USD would be around $100,000. However, to reach the value of gold, the trading value would need to be around $500,000. Currently, the price of bitcoin is not seeing that much action, especially with President Trump testing positive for the coronavirus and the November election right around the corner. Analysts say that this is going to be the expected trend for the rest of the year.
However, there is still some anticipation growing regarding BTC stepping away from its correlation with macro assets and creating its own trend which will be according to its historical behaviour. According to analysts at the retail broker Plus500, bitcoin will take the forecasting models based on the stock-to-flow method which showed an average value of $288,000 during the May halving event.
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