Bitcoin
Bernstein sees upside to $1 million
Bernstein, an asset management firm with more than $750 billion in assets, is doubling down on its Bitcoin price prediction, increasing its 2025 target from $150,000 to $200,000. The forecast for 2033 is a surprising US$1 million.
Analysts at the firm shared their price projection for the top cryptocurrency on Friday. In a note to clients, the research firm said expectations of a rise in spot Bitcoin ETFs represent a bullish catalyst.
“We believe that US-regulated ETFs were the game changer for crypto, which brought structural demand from traditional pools of capital,” noted Gautam Chhugani and Mahika Sapra of Bernstein.
Since their trading debut in early January, spot Bitcoin ETFs have seen net inflows of more than $15 billion. According to analysts, the global spot Bitcoin ETF market could grow to account for approximately 7% of BTC’s circulating supply by 2025.
BTC price will reach $1 million by 2033
Just like the ETF spot market, Bernstein analysts stated that Bitcoin is in a new bull cycle.
The recent block reward halving, which reduced daily issuance from around 900 bitcoins to 450 bitcoins, is another factor, they noted, writing that a surge in demand amid the ongoing supply shock could boost the price of BTC to more than US$200,000 by the middle of next year. .
Analysts also expect spot Bitcoin ETFs to represent about 15% of the circulating supply of “digital gold” by 2033. In that case, a rise in price relative to the marginal cost of production could mean a rise to more than US$ 1 million in the next eight years.
Gautam Chhugani and Mahika Sapra see Bitcoin at $500,000 by the end of 2029 and over $1 million by 2033.
Bernstein also initiated coverage on MicroStrategy shares, assigning an outperform rating with a $2,890 price target by the end of 2025.
MicroStrategy (MSTR) is an AI-based cloud analytics company that currently holds 214,400 bitcoins. The company has announced a $700 million convertible note sale with defined recipes to buy more BTC.