VanEck predicts Bitcoin could reach $3M by 2050
- Matthew Sigel of VanEck predicts Bitcoin could reach $3 million by 2050, based on a 16% annual growth rate.
- The estimate is underpinned by the expectation that Bitcoin might become a global reserve asset, with central banks holding it at a modest weight.
- The bullish sentiment surrounding Bitcoin is fueled by growing interest globally and political factors related to the upcoming US elections.
In a recent CNBC interview, Matthew Sigel, head of digital assets at investment management firm VanEck, outlined the company's prediction that Bitcoin could reach $3 million by 2050. This ambitious projection is based on an assumed compound annual growth rate of 16% over the next two decades, considering Bitcoin's potential emergence as a global reserve asset. Sigel emphasized that this could come from central banks holding Bitcoin at a modest 2% weight. Despite the lofty prediction, he expressed indifference towards other projections, like Cathie Wood's forecast of $500,000 by 2026. The comments on Bitcoin's future align with a broader bullish sentiment in the market, especially regarding upcoming US presidential elections and their potential impact on Bitcoin prices. Sigel specifically noted the rising interest in cryptocurrency from BRICS nations, including regions like Russia and the UAE. Bitcoin's price had recently surpassed $71,000, indicating a significant upward trend. Furthermore, VanEck has previously anticipated a surge in Bitcoin's value, driven by political changes and regulatory optimism, aligning with expectations from Standard Chartered concerning Bitcoin hitting $73,000 by the elections.