tl;dr
Bitwise Asset Management's CIO, Matt Hougan, suggests that if Bitcoin becomes a reserve asset for various countries, its price could rise significantly, potentially reaching hundreds of thousands of dollars. He believes that the current market does not account for this possibility and expects a subs...
Bitwise Asset Management's CIO, Matt Hougan, predicts that if Bitcoin is adopted as a reserve asset by various countries, its price could surge, potentially reaching hundreds of thousands of dollars. According to Hougan, the current market does not factor in this possibility, and he anticipates a significant extension of the bull market, even beyond 2025.
Hougan also highlights the potential shortage of new Bitcoin expected to be mined in 2025, which may lead to a substantial price increase driven by high demand from corporations, ETFs, and governments. He suggests that the imbalance between the demand for Bitcoin from various sources and the limited new supply could result in a situation where current Bitcoin holders are unwilling to sell until the price reaches a new major level, potentially leading to a violent market movement.
At the time of writing, Bitcoin is trading at $94,744. Hougan emphasizes that the price of Bitcoin could experience a dramatic upsurge if it gains traction as a reserve asset, with the potential to reshape the cryptocurrency market in unforeseen ways.