Michael Saylor, co-founder and Executive Chairman of the business intelligence firm MicroStrategy and a prominent Bitcoin advocate, recently reiterated his optimistic view on the leading cryptocurrency during an exclusive interview with CNBC on Monday.
Saylor, known for directing his company towards substantial Bitcoin investments to capitalize on its continued growth, projected an astonishing future valuation for Bitcoin. He confidently forecasted that the price of Bitcoin could skyrocket to an unprecedented $13 million per coin.
During the interview, Saylor highlighted that Bitcoin currently represents just 0.1% of global capital but envisioned this figure increasing to 7%. This dramatic shift, he suggested, could drive Bitcoin to the remarkable $13 million mark by 2045.
Saylor elaborated on Bitcoin’s growth potential by providing a detailed four-year calculation for the entire Bitcoin market. With an average annual growth rate of 44%, which he believed might gradually reduce to 40%, 35%, and eventually 30% in the coming years, Saylor made a compelling case for Bitcoin to outperform traditional financial indices.
He explained that he envisions Bitcoin’s returns surpassing the S&P 500 by 8%, ultimately exceeding the market capitalization of the top 500 publicly traded companies in the US. This, he argued, underscores its potential to significantly disrupt global capital markets.
Saylor also took a moment to underscore Bitcoin’s unique proposition as an asset without counterparty risk. Contrary to the popular belief that associates Bitcoin with high-risk investments, he posited that Bitcoin represents a safe haven for risk-averse individuals, emphasizing the desire for security and stability in investment choices.
Examining the current state of the Bitcoin market, crypto analyst Doctor Profit recently released a report assessing future price movements for the leading cryptocurrency. The report posed a critical question: will the market continue to decline, or is a breakout to the upside imminent?
Drawing from past scenarios, Doctor Profit emphasized the dangers of waiting for an elusive lower price point. He cited a past situation when Bitcoin hovered at $16,000 in 2022, defying expectations of a drop to $10,000.
Central to Doctor Profit’s analysis was the position of the 50-day exponential moving average (EMA), which currently trails 2% below the market price of $55,400. This, he indicated, could present an opportunity for traders to capitalize on potential recovery for the cryptocurrency.
Additionally, the analyst pointed out a second support level 10% below the current price at $48,000, which could act as a barrier to further declines. This level proved crucial during the August 5 crash that saw Bitcoin plummet to $49,000.
Addressing prevailing sentiments of pessimism and calls for a retreat to $40,000 levels, Doctor Profit offered a nuanced perspective. He reminded investors of historical patterns following Bitcoin Halving events.
With the most recent Halving occurring in April, Doctor Profit argued that the market is well within the typical timeframe for Bitcoin’s parabolic surges, usually observed 10-12 months post-Halving.
While the current sideways movement near the all-time high might evoke fear, Doctor Profit asserted that this phase is a natural part of the market cycle, distinct from the exuberance seen during previous peaks.
The daily chart shows that Bitcoin’s price has recovered and is consolidating above the $55,000 level.
