Adam Back believes Bitcoin can increase its market capitalisation by 400% in less than two years.
Bitcoin (BTC) reaching a market value of US$1 trillion in 2025 is „conservative“ and these levels should be reached in less than two years.
This was according to Blockstream CEO Adam Back, who presented a new BTC price hike forecast on October 5.
Back was responding to a report by Yassine Elmandjra, crypto analyst at the ARK investment consulting firm, which in September predicted a market capitalisation of Bitcoin of $1-5 trillion by 2030 at the latest.
ARK is well known for its enthusiastic price predictions for Tesla shares, which rose almost unbelievably in 2020.
„Conservative. I would say that bitcoin is likely to have a market capitalization of $1 trillion in 2 years, probably before. US$1 trillion is about BTC US$50k,“ he said.
By October 2020, Bitcoin’s market capitalization was just over $198 billion. For Back’s forecast to become a reality, the market would need to see a 400 percent increase by 2022.
For reference, in early October two years ago, in 2018, that figure was $114 billion. The BTC/USD was trading at US$6,600, two months before its lowest point in the bass Golden Profit scam, which reached rock bottom at US$3,100.
Analysts betting on a take-off
Other responses to ARK included on-chain ecoinometrics data capabilities, which highlighted a $2 trillion market capitalisation of Bitcoin equal to that of Apple.
The BTC/USD would trade at US$100,000 under such circumstances, while to match gold, the pair would need to reach US$500,000.
As reported by Cointelegraph, Bitcoin price activity is currently much more moderate, with analysts expecting more side swings characterising the rest of the year.
At the same time, expectations are growing for the BTC/USD pair, abandoning its correlation with traditional macro assets and moving up in line with historical behaviour – specifically focused on the forecasting of stock-to-flow price models.
Stock-to-flow is asking for an average price of $288,000 during the current halving cycle, which began in May and will last until 2024.