Bitcoin (BTC) hitting a $1 trillion market cap by 2025 is “conservative” and those levels should hit in less than two years.
That was according to Blockstream CEO Adam Back, who delivered a fresh bullish BTC price outlook on Oct. 5.
Back was responding to a report by Yassine Elmandjra, a crypto-asset analyst at investment advisor ARK, who in September forecast a Bitcoin market cap of $1–5 trillion by 2030 at the latest.
ARK is well known for its enthusiastic price forecasts for Tesla stock, which saw an almost unbelievable rise in 2020.
“Conservative. I’d say #bitcoin likely sees $1 trillion market cap within 2 years, probably sooner. $1 trillion is about BTC $50k,” he said.
As of October 2020, Bitcoin’s market cap is just over $198 billion. For Back’s prognosis to come true, the market would need to see a 400% increase by 2022.
For reference, at the start of October two years ago in 2018, the figure stood at $114 billion. BTC/USD traded at $6,600, two months before the pit of its bear market which bottomed out at $3,100.
At the same time, anticipation is building over BTC/USD abandoning its correlation to traditional macro assets and rising in line with historical behavior — specifically centered on predictions from the stock-to-flow price forecasting models.
Stock-to-flow calls for an average price of $288,000 during the current halving cycle, which began in May and will last until 2024.