The dollar's continued depreciation and increased demand for store-of-value assets could push $BTC prices toward $200,000, according to Bitwise chief investment officer Matt Hougan.
In a post published on October 29, Hougan responded to a question he had received from a financial advisor about whether bitcoin could reach a value of USD 200,000 without a collapse of the US currency.
He responded as follows: “When you invest in Bitcoin, you are actually making two bets at once,” Hougan wrote. will manage to establish itself as a “new store of value asset” while governments will continue to “abuse fiat currencies,” something that will naturally lead to an increase in demand for hard assets like $BTC .
Hougan said that while both arguments addressed the original issue, they were separate points with potential price outcomes.
Bitcoin's total market cap of $1.4 trillion currently represents 7% to 8% of gold's $18 trillion market cap, but Hougan said BTC could "mature" to be worth about half the total value of gold, making one bitcoin worth about $400,000.
He added that since governments are currently “abusing” their control over the supply of fiat currencies by printing money, more investors will be inclined to hold store of value assets.
If bitcoin only has a 7% share relative to gold and demand for bitcoin alone triples, each BTC would be worth USD 200,000.
"More importantly, these arguments are stacking up. If Bitcoin matures and the store of value market doubles, it will quickly reach seven figures," he says.
“I think this is the most likely scenario over time.”
For my part, I think it's a bit early to think that Bitcoin can reach 7 figures, but it is an asset that has gained a lot of strength and many experts agree that Bitcoin's support above 69k could indicate an even greater#bullishtrendand reach historic levels.
What do you think about this? Are these just rumors and are we entering an even bigger #downtrend?
