As global liquidity expands and fiat currencies face mounting inflation, Bitcoin’s fixed supply is emerging as a powerful catalyst for a potential $1 million price surge.
With Bitcoin trading above $118,000 and consolidating below its recent peak, long-term investors are turning their focus to BTC’s core feature—scarcity. Prominent market voices argue that Bitcoin’s capped supply, combined with increasing monetary debasement, could set the stage for a dramatic rally over the next decade.
The case for Bitcoin hitting $1 million rests heavily on its fixed supply of 21 million coins—with far fewer actually circulating due to lost wallets and long-term holders.
Investor Fred Krueger underscored the scarcity narrative, explaining that pushing Bitcoin to $1 million would require just $1 trillion in capital—an amount he considers modest compared to the projected expansion of the global money supply. With global liquidity expected to double from $100 trillion to $200 trillion by 2035, analysts argue that fiat currency devaluation is making BTC increasingly attractive.
Data from River, a Bitcoin-focused platform, reveals that investors who held BTC since July 2024 have outperformed fiat currency returns tenfold, reinforcing Bitcoin’s growing appeal as an inflation hedge.
Additionally, the global M2-per-Bitcoin ratio—a metric comparing global money supply to the total BTC supply—has reached a 12-year high of $5.7 million, highlighting the asset’s increasing scarcity against fiat expansion.
Meanwhile, JPMorgan and other institutions continue to explore crypto-backed financial products, and corporate treasuries are stacking BTC, which supports the notion of Bitcoin as a reserve asset.
The long-term Bitcoin forecast remains highly bullish, underpinned by macroeconomic shifts, increased institutional interest, and Bitcoin’s programmatic scarcity. While short-term resistance and volume weakness are valid concerns, many investors are focusing on the bigger picture.