VanEck issues a $60 trillion Bitcoin, Stacks, Ethereum, Solana, Pepe, prediction

Bitcoin price has done well in the past 15 years and has more room to run in the next decades. It has soared from near zero to over $66,000, creating many millionaires and billionaires along the way.

Other tokens like Stacks, Ethereum, Solana, and Avalanche have also done well. Altogether, the crypto industry has moved from zero in 2019 to over $2.6 trillion today.

VanEck is bullish on Bitcoin

Crypto experts are bullish on Bitcoin despite the recent volatility and its struggle to retest its all-time high. 

In a recent note, analysts at VanEck, a company with over $85 billion in assets, noted that Bitcoin would jump to over $2.9 million by 2050. That would be a big move since Bitcoin was trading at $66,000 on Friday. Such a jump means that the coin would need to jump by over 4,293%.

While that would be a big increase, Bitcoin has actually done better in the past as it has jumper by almost 660 million per cent since its inception in 2009. At the time, the first confirmed transaction valued the token at just $0.01.

VanEck argued that Bitcoin was becoming a more mainstream asset and that banks will hold about 2.5% of their assets in the coin. Together with investor demnand and Bitcoin turnover, the price will likely continue rising. 

VanEck also expects that Bitcoin scaling platforms like Stacks, Lightning Network, Taproot, and Rootstack will continue gaining market share. In its estimate, the company anticipate that these tokens will also continue growing and reach a market cap of over $7 trillion by 2050.

JUST IN: VanEck predicts #Bitcoin could hit $2.9 million by 2050 🚀 pic.twitter.com/1J6zFGZDFg

— Bitcoin Magazine (@BitcoinMagazine) July 25, 2024

Other pros are bullish on Bitcoin

VanEck is not the only company that is bullish on Bitcoin. In a recent statement, Larry Fink, the founder of Blackrock, noted that he had changed his mind on Bitcoin. He is now a big bull and expects that its performance will continue in the future. 

Fink’s argument is that Bitcoin has become a digital gold that will thrive as the US debt surges to a record high. According to the debt clock, the US debt has soared to over $34.9 trillion and is nearing the $35 trillion level. 

In such a scenario, governments will also start to embrace gold and Bitcoin. El Salvador has made a fortune after buying Bitcoin a few years ago. Also, there are rumours that Donald Trump will announce a strategic Bitcoin reserves. Still, despite these expectations, Polymarket places the chances at 30%.

The US government is one of the biggest Bitcoin holders in the world. It has over 213,000 coins worth over $14 billion. It could decide to keep these holdings or sell them as Germany did recently. 

Billionaire Elon Musk is also bullish on Bitcoin. While he has not talked about the coin recently, his actions suggest that he is a believer. Tesla, his company, is the third-biggest corporate Bitcoin holder in the world. It holds 9,720 coins currently valued at over $640 million. 

Cathie Wood, a relatively discredited investor, whose Ark Invest has destroyed over $14 billion worth of wealth, has also boosted her Bitcoin price prediction to $3.8 million. 

Other bullish analysts are Michael Novogratz of Galaxy Digital and Michael Saylor of MicroStrategy have expressed their bullish outlooks.

To be clear: all these analysts have vast resources invested in Bitcoin. VanEck’s HODL ETF has over $700 million in assets while Blackrock’s IBIT fund has over $22 billion in funds. Michael Saylor is the biggest Bitcoin holder.

There are other potential catalysts for Bitcoin in the next decades. The next halving events will slow the coin’s supply dramatically at a time when demand from institutional investors. Recent data shows that Bitcoin ETFs have added over $17 billion in funds this year and this trend will continue.

Implications for Solana, Ethereum, Stacks, and Pepe

If VanEck is accurate about this, it means that other altcoins will do much better by 2050. Historically, altcoins like Solana (SOL), Ethereum (ETH), Stacks (STX), and Pepe have done well when Bitcoin is rising. 

Most of them reached their multi-year high earlier this year when Bitcoin soared to a record high. 

By 2050, there are chances that some of these tokens will have spot ETFs. The SEC has already approved spot ETFs and analysts now expect that tokens like Solana, Chainlink, and Cardano will have their funds in 2025. Historically, these altcoins outperform Bitcoin when the latter is in a strong bull run.

Still, there are potential risks to be aware of. First, 2050 is still too far away and, as we saw with Covid-19, a lot can happen. Second, we could see some volatility if the US decides to dump all its tokens as Germany did. The situation would be more severe if MicroStrategy decided to sell.

The post VanEck issues a $60 trillion Bitcoin, Stacks, Ethereum, Solana, Pepe, prediction appeared first on Invezz