When This Happens, Bitcoin Market Cap Could Reach $1.5 Trillion

Analysts predict that with the substantial increase in trading volumes of spot exchange-traded funds (ETFs) like BlackRock’s iShares and the top ten cryptocurrency assets, Bitcoin (BTC) could achieve a market capitalization of $1.5 trillion. Jurrien Timmer from Fidelity forecasts that Bitcoin will soon capture 25% of the non-industrial gold market.

Institutional interest in XRP, ETH, and BTC, along with analysts’ optimism about their surge, is expected to boost the cryptocurrency market’s total value by at least $500 billion.

Why Is Bitcoin Market Cap Rising?

This week, Elon Musk implicitly acknowledged Bitcoin as genuine currency in response to Warren Buffett’s 2016 statement. Buffett had emphasized the value of time over money.

Musk’s reply, “Time is money,” resonates with an anonymous writer named Gigi, who considers Bitcoin’s block height as a measure of time. Speculation about Bitcoin’s future intensified following Musk’s tweet. The recent surge in XRP, ETH, and BTC prices has propelled the cryptocurrency market’s value beyond $2 trillion.

“Today, it once again becomes a timekeeping device that is reshaping our civilization. In the modern information age, the true key machine is the clock, not the computer. That clock is Bitcoin,” Gigi wrote.

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Renowned analyst Kevin Svenson suggests that Bitcoin could double in value, depending on its price and recent trend lines. Based on observed parabolic cryptocurrency trading patterns within each cycle, Bitcoin’s price could reach twice the so-called “Base 3” value. Earlier this year, the asset’s Base 3 price hit $45,000, implying a potential value of $90,000.

How BlackRock’s Bitcoin ETF Deceives Corporations

Institutions that previously avoided Bitcoin are now embracing it, while some remain cautious. JPMorgan’s CEO referred to Bitcoin as a “pet rock” but recently upgraded the stock rating of U.S. cryptocurrency exchange Coinbase to neutral, believing that Bitcoin’s rally is sustainable after the approval of spot ETFs by the U.S. Securities and Exchange Commission. Jurrien Timmer, Fidelity’s Global Macro Director, remains optimistic about Bitcoin’s share in the so-called “monetary gold” market (gold not used for jewelry or industry).

“Based on calculations outlined in my previous posts, I estimate that Bitcoin will eventually occupy about a quarter of the monetary gold market. Calculating at 40%, the current value of monetary gold is approximately $6 trillion, while Bitcoin’s value is $1 trillion,” Timmer stated.

Carson Group, an investment advisory firm, recently joined four out of ten Bitcoin ETFs, including Fidelity’s. Fidelity and BlackRock’s Bitcoin ETFs are the largest, with BlackRock’s ETF ranking fifth among all asset classes.

However, one of the world’s most famous and successful investors, Warren Buffett, remains unconvinced. Last year, he told shareholders at Berkshire Hathaway’s annual meeting that Bitcoin has no intrinsic value.

His sentiments align with recent criticism from the European Union, which stated in a press release that Bitcoin cannot generate cash flow and should not be considered a commodity. BeIn Cryptocurrency reached out to Berkshire Hathaway for their perspective on Bitcoin but had not received a response at the time of publication.

Sentiment: Positive