Alliance Bernstein, a global asset management firm, has made some bold predictions about the future price of Bitcoin. According to their analysts, the price of Bitcoin could skyrocket to $200,000 by 2025, $500,000 by 2029, and an astonishing $1 million by 2033.
In a recent statement, the analysts at Alliance Bernstein expressed their belief that Bitcoin is currently in a new bull cycle. Gautam Chhugani and Mahika Sapra, two prominent analysts at the firm, shared their Bitcoin price forecast while also initiating coverage of Microstrategy, a software intelligence company focused on Bitcoin.
Their projections are quite optimistic, with a base case estimate of Bitcoin reaching $200,000 by 2025, $500,000 by 2029, and a staggering $1 million by 2033. This represents a significant increase from their previous estimate of $150,000 by 2025.
The analysts attribute much of their positive outlook to the strong demand for Bitcoin exchange-traded funds (ETFs). They believe that the introduction of regulated ETFs in the U.S. has been a game-changer for the cryptocurrency market, attracting traditional pools of capital and driving up demand for Bitcoin. They predict that by 2025, Bitcoin ETFs will hold around 7% of the total Bitcoin in circulation, increasing to 15% by 2033.
Furthermore, the Bernstein analysts highlighted the impact of the Bitcoin halving event, which reduces the sell-pressure from miners and creates a scenario where demand for Bitcoin outstrips supply, driving up prices exponentially. They emphasized that Bitcoin is currently in a new bull cycle, suggesting that the upward trend is likely to continue.
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