Matthew Sigel, the head of digital assets research at VanEck, forecasts that Bitcoin’s value could surge to $3 million by 2050, driven by its potential role as a global reserve asset.
Sigel’s model considers
Bitcoin
eventually becoming integral to international trade, with central banks allocating a modest 2% of their reserves to it, paving the way for this ambitious price target.
“This is a very bullish setup for bitcoin into the election. We saw the exact same pattern in 2020 where bitcoin lagged with low volatility and then once a winner was announced, we had a high vol rally as new buyers come into this market,” says
@matthew_sigel
of
@vaneck_us
.
pic.twitter.com/EcIzPAGAq0
— Squawk Box (@SquawkCNBC)
October 28, 2024
Despite the boldness of this prediction, Sigel believes it is feasible, with Bitcoin’s value growing by approximately 16% each year over the next few decades, steadily inching towards the projected valuation. This outlook reflects a high degree of confidence in Bitcoin’s long-term growth trajectory.
Sigel also highlighted the shifting financial dynamics driven by the BRICS coalition, which recently welcomed six additional nations. Several of these countries, including Argentina, the UAE, and Ethiopia, are already utilizing government resources for Bitcoin mining. BRICS has grown into a formidable economic group, potentially rivaling the G7, and their initiatives signal a concerted move towards adopting Bitcoin to bypass traditional Western financial constraints.
READ MORE:
Billionaire Venture Capitalist Claims Bitcoin Will Surpass Gold as Top Inflation Hedge
In particular, Russia has announced plans to fund Bitcoin mining and AI infrastructure development within BRICS territories, laying groundwork for trade settlements in Bitcoin. Sigel warns that if the U.S. continues its current fiscal policies without adapting to the evolving digital asset landscape, it risks losing influence in global finance. He envisions a future where reintegration of nations into the global system may see Bitcoin as the primary trading medium, pushing the U.S. to rethink its stance on digital assets.
