American wealth management firm ARK Investment Management has published a study in which it reveals a markedly bullish projection for bitcoin (BTC) in the coming years. It's a prediction he made after analyzing which technologies they believe will grow the most in the future.
Bitcoin has a high appreciation potential
According to his research, five technologies will generate significant returns in the long-term stock market. These are artificial intelligence, robotics, energy storage, DNA sequencing, and blockchain networks that use cryptocurrencies. On the latter, he estimates that bitcoin is the one that stands out.
"Bitcoin has significant appreciation potential," they say in the report. They estimate that by 2030 the price of a BTC could exceed a million dollars. This is due to the volume of money they expect individuals and institutions to invest in the cryptocurrency.
At the moment, BTC is trading at $ 38.200, according to what we can see from the quotation in real time. This means that, according to their forecast, the price of BTC would increase in value by more than 2.500% in eight years.
Bitcoin would attract $ 28,5 trillion from investors over the next decade
According to ARK's analysis, bitcoin's market capitalization could rise more than 25 times over the next decade. Its capitalization last year was $ 1,1 trillion and is projected to be $ 28,5 trillion by 2030. In other words, in eight years, bitcoin will be almost 26 times higher than it is today. .
The use of Bitcoin is set to increase
As for the use of cryptocurrency, it is estimated that most of the money will come from those who view bitcoin as "digital gold". The company expects BTC to get more than double the investments than gold, which is currently the largest market capitalization asset at $ 11,8 trillion, according to MarketCap.
Second and third, research indicates that bitcoin's usage pattern will be as part of corporate reserves and institutional investments. In this regard, they project that by 2030 the richest companies, listed on Wall Street stock exchanges with the S&P 500 stock index, will have 5% of their cash holdings in BTC. They also believe that the cryptocurrency will attract 2,5% of institutions' investments. Currently, companies like Tesla and MicroStrategy have already been saving in bitcoins for more than a year.
ARK mentions that blockchain technology is transformative and is nearing tipping points, sparking demand across sectors and geographies and generating more innovation. "We believe historians will look back on this era as one of unprecedented technological advancement and say: everything has changed," they say in the report. But they warn that their predictions shouldn't be taken as a buy recommendation and aren't a guarantee that they will happen.