Bitcoin’s price outlook remains sky-high after MicroStrategy founder Michael Saylor told Bloomberg that fears of a crypto winter are unfounded. He argues that growing demand and limited daily supply could propel Bitcoin towards a staggering $1 million.
Supply And Demand Pressure
Saylor highlights that miners release only about 450 BTC each day, worth roughly $50 million at current prices. He believes that once this daily supply is absorbed by buyers, the price has no choice but to rise, given that demand now matches or exceeds miner sales.
High Price Targets
ARK Invest recently revised its bull case for Bitcoin from $1.5 million to $2.4 million by 2030. Saylor, however, goes even further, stating that as long as Bitcoin doesn’t plummet to zero, it’s destined for $1 million. MicroStrategy, his firm, has amassed 582,000 BTC since 2020, now valued at nearly $64 billion.
Institutional And Political Support
Saylor points to growing institutional and political backing for Bitcoin, citing figures like Donald Trump and SEC chair Paul Atkins. He also notes that banks are increasingly offering custody services, and Bitcoin ETFs from firms like BlackRock are buying coins daily.
Volatility Warning
Despite his bullish outlook, Saylor warns of significant volatility. He suggests that if Bitcoin hits $500,000 or $1 million, a subsequent drop to $200,000 could follow—a 60% decline from peak levels. This, he says, is part of Bitcoin’s historical and future trajectory.
Market Dynamics and Challenges
Beyond miner sales, spot and futures trading often exceed $10 billion daily, meaning $50 million in daily buys might only slightly move the price. Additionally, regulatory concerns and the rise of competing cryptocurrencies could pose challenges.
The Road Ahead
The key question is whether steady new demand can outpace miner supply and profit-taking by holders. While Saylor’s figures paint a bullish picture, investors should prepare for significant dips on the path to $1 million.
Featured image from Getty Images, chart from TradingView
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