$BTC Is Bitcoin heading towards the milestone of 1 million USD? From 'digital gold' to a new macro asset

According to Mike Novogratz – founder and CEO of Galaxy Digital, Bitcoin is increasingly becoming an indispensable part of the long-term investment portfolio of financial institutions. He believes that this digital currency is on the path to replace gold and could very well reach a price of 1 million USD if it dominates the role of a global store of value.

Speaking on CNBC on June 12, Novogratz noted that Bitcoin is no longer seen as a speculative tool on the sidelines. Nowadays, many large investment funds have placed it alongside gold, silver, and the S&P 500 in their asset allocation strategies. “Ten years ago, mentioning Bitcoin was considered fanciful. Now, it has been institutionalized,” he said.

According to this billionaire, the key factor lies in the absolute scarcity of Bitcoin. The total supply is capped at 21 million coins, of which a significant portion has been lost forever. This creates rarity over time – a characteristic only seen in assets like gold.

Novogratz believes that if Bitcoin achieves a market capitalization equivalent to gold (currently only about 10%), the price of each coin could potentially increase tenfold. Additionally, he emphasizes the macro context – including the weakening of the USD and inflationary pressures – is prompting investors to seek alternative assets, with Bitcoin standing out due to its independence from government and its inability to be printed more.

Large organizations like Tesla, MicroStrategy, and BlackRock have all approached Bitcoin, contributing to its legitimization within the global financial ecosystem.