Even after doubling in value over the past year, Bitcoin remains a minuscule slice of the world’s total assets – a fact that some analysts argue underscores how much potential is still ahead for the leading cryptocurrency.
Nearly a year ago, MicroStrategy’s Michael Saylor compared Bitcoin’s value to the global asset pool, estimating that when the coin traded near $65,000, its $1 trillion market cap represented only 0.1% of worldwide wealth. Today, even with Bitcoin hovering above $120,000 and total capitalization surpassing $2 trillion, it accounts for roughly 0.2% of the global $1 quadrillion asset base. In other words, Bitcoin’s total footprint remains almost invisible compared to traditional markets like equities, real estate, and government debt.
Analysts Envision a Multi-Decade Expansion
According to Jesse Myers, Head of Bitcoin Strategy at the Smarter Web Company, the long-term outlook remains remarkably bullish. Myers believes that Bitcoin’s growth potential lies not in short-term speculation but in structural adoption. He estimates that the asset could compound at nearly 30% per year for the next two decades, projecting a theoretical price of around $10 million per coin if historical growth rates persist.
The reasoning, he explains, is simple: Bitcoin is the only major financial instrument with an absolute supply cap. With just 21 million coins ever to exist, scarcity will intensify as institutional demand rises. “We’re still early in the process,” Myers noted, emphasizing that Bitcoin’s share of global capital remains far below that of gold – a market it could one day rival.
Why Institutional Interest Keeps Rising
As inflation erodes the purchasing power of traditional currencies and yields on bonds stagnate, investors have increasingly turned to Bitcoin as a store of value. Its decentralized structure, fixed issuance schedule, and resistance to political influence make it attractive to institutions seeking long-term diversification.
ETF approvals, corporate holdings, and growing integration within mainstream financial products have accelerated adoption. Analysts say that as legal frameworks mature, major asset managers and pension funds could allocate even a small percentage of their portfolios to Bitcoin – enough to multiply its total market size several times over.
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Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/bitcoins-global-footprint-remains-tiny-analysts-predict-massive-upside/