The post Bitwise CIO Assesses the Possibility of Bitcoin Price Rise to $200,000: Is It Possible? appeared on BitcoinEthereumNews.com.

Bitwise’s Chief Investment Officer (CIO), Matt Hougan, recently answered a key question regarding Bitcoin’s (BTC) price potential: Does the US dollar need to collapse for Bitcoin to reach $200,000? His answer: “No.” In a detailed analysis shared on social media, Hougan explained why he believes Bitcoin can reach such a valuation without a dramatic drop in the value of the US dollar. Hougan explained that investing in Bitcoin involves two simultaneous risks: First, that Bitcoin will continue to establish itself as a “store of value” asset similar to gold. Second, that fiat currencies will face increasing pressure from government economic policies, resulting in greater demand for alternative assets like Bitcoin. He noted that Bitcoin’s current market cap is about 7% of gold’s estimated $18 trillion market cap. If Bitcoin matures to be 50% of gold’s, one Bitcoin could be worth over $400,000, Hougan said. But the second factor, the increasing demand for “store of value” assets due to governments’ potential mismanagement of fiat currencies, further supports Bitcoin’s price potential. Hougan said that if the broader market for such assets triples and Bitcoin maintains its 7% market share, the price could exceed $200,000. More importantly, Hougan noted that these two arguments are separate but complementary. “If Bitcoin matures and the store of value market expands, you’re going to get to seven figures very quickly,” he said. According to Hougan, the key to Bitcoin reaching $200,000 is not the collapse of the US dollar, but Bitcoin’s continued growth as an institutional asset. *This is not investment advice. Follow our Telegram and Twitter account now for exclusive news, analytics and on-chain data! Source: https://en.bitcoinsistemi.com/bitwise-cio-assesses-the-possibility-of-bitcoin-price-rise-to-200000-is-it-possible/

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Filed under: News - @ October 29, 2024 11:21 pm