Disclaimer: The datasets shared in the following article have been compiled from a set of online resources and do not reflect AMBCrypto’s own research on the subject
Hey, fellow traders and investors! How are your Bitcoin holdings doing? Well my guess is – Not good.
While there were expectations that following a brief drawdown, the crypto would hit new peaks again, that didn’t happen. In fact, the last few months have seen BTC fall as low as $18,000 on the charts.
This is interesting, especially since for a long time, many were expecting BTC to go as high as $100,000 on the charts. When that didn’t happen, the blame game started. PlanB’s S2F projections, for starters, were deserted by many.
Even so, despite everything, there remain many who are still in the business of predicting where the cryptocurrency will be 5 years or 10 years from now.
Why these projections matter
The following article will touch upon these projections. With BTC emerging as a strong store of value of late, it is crucial investors are aware of where popular analysts see the cryptocurrency heading over the next decade. These projections, while not an absolute certainty in any way, can help traders and holders make smart decisions.
That’s not all, however. According to CoinGecko, for instance, Bitcoin enjoys a market share of just under 40%. While this figure isn’t as high as it was back in 2017 or even, 2021, it’s a significant share. By extension, what it means is that whatever happens to Bitcoin, the rest of the altcoin market is bound to see a ripple effect. Ergo, even if you’re only into altcoins, what BTC performs will affect you too.
This article will briefly look at the cryptocurrency’s recent market performance, with a special focus on its market cap, volume, and rate of appreciation/depreciation. The same will be expanded upon with the use of datasets such as non-zero addresses, no. of whale transactions, et al. It will conclude by summarizing the projections of the most popular analysts/platforms, while also looking at the Fear & Greed Index to assess the mood of the market.
Bitcoin’s price, volume, and everything in between
At the time of writing, Bitcoin was trading at $24,059 on the price charts, having risen by over 4% in 24 hours. The said hike was on the back of its weekly hike, with its 24-hour trading volume recorded to be $20.8B.
Needless to say, BTC’s price movement had an impact on its market cap too. When the crypto’s price hit a short-term peak on 30 July, so did the market capitalization, with the same rising to $469 billion. At press time, it was down to $460 billion. As expected, BTC/USDT was the most popular trading pair on the market, with Binance enjoying a share of over 8% for the same.
The aforementioned may be good news for investors. Especially since it comes on the back of a few weeks and months that saw nothing but bearish news for the crypto. In fact, while BTC is still over 65% away from its ATH of over $69,000, there’s a lot of optimism around.
Consider the comments of the legendary Bill Miller, for instance. He was in the news a while back when he claimed,
“Bitcoin’s supply is growing around 2.5 percent a year, and the demand is growing faster than that.”
To Miller, this growth in demand will be accompanied by a corresponding hike in price too, with a target of $100,000 being thrown around by some. In fact, a similar logic was applied by Bloomberg Intelligence when it claimed that the demand and adoption curves pointed to a projection of $100,000 by 2025.
One can argue that over the last few years, much of Bitcoin’s demand and adoption has been driven by its emergence as a store of value. In fact, while quite a few are into it for the tech, many others are into Bitcoin for a good return on their investment. It is in this regard that it’s worth looking at how its ROIs have been. According to Messari, for instance, at the time of writing, BTC was offering negative ROIs of -27% and -41% over a 3-month and a 1-year window, respectively.
Understandably, the aforementioned datasets are products of how BTC has been doing on the price charts of late. Thanks to its most recent drawdown, its ROIs have been negative. Even so, there are a few factors that seem to underline a bullish turn for the world’s largest cryptocurrency.
For instance, the number of Bitcoin addresses holding 0.1+ coins hit an ATH yesterday. Furthermore, the $BTC Percent Supply in Profit (7d MA) just hit a 1-month high of 60.513% too while the aSOPR (7d MA) struck a 3-month high.
📈 #Bitcoin $BTC aSOPR (7d MA) just reached a 3-month high of 0.99356
View metric:https://t.co/yJqatjFTgP pic.twitter.com/YjDwoEA4YT
— glassnode alerts (@glassnodealerts) August 1, 2022
Now that the background and context is taken care of, what do popular platforms and analysts say about where they see Bitcoin heading in 2025 and 2035? Well, only one way to find out.
Bitcoin Price Prediction 2025
Before we get to predictions, it’s important that one salient feature be identified and highlighted. Predictions vary. From one platform to the other, from one analyst to the other, predictions can be significantly different from each other.
Consider the year 2025, for instance –
According to Changelly, Bitcoin’s average trading price will be as high as $124,508 in 2025, with the platform claiming it might go as high as $137k.
On the contrary, there is reason to believe that the cryptocurrency’s upside won’t be as high. Why? Well, because the crypto is yet to be uniformly supported by global regulatory and legislative regimes. With CBDCs being slowly introduced in many countries, the attitude towards cryptos isn’t exactly positive either.
Finally, the last six months also highlighted the tendency of most retail investors to run with their holdings once the market bloodbath starts.
Another interesting way to look at it is using the growth of tech to highlight how far Bitcoin might go.
Consider the simple case of Google, for instance. Despite recent turmoil, it’s expected to grow exponentially over the next 5 to 10 years. However, it can be argued that this growth will go hand in hand with the growth of Bitcoin and the crypto-market, by extension. This, owing to the correlation between the two.
Bitcoin searches on Google being 7x and 42x higher than the no. of searches for USD and Euro, respectively, is evidence of the same. In fact, according to studies, there has historically been a 91% correlation between BTC prices and Google search volumes.
Bitcoin Price Prediction 2030
For starters, one thing must be made clear. 2025 and 2030 are five years apart. Predictions are difficult to get right as it is. It’s perhaps even more difficult when the timeframe in question is a good 8 years down the line.
Even so, one can see that most people’s predictions for Bitcoin’s 2030 price are on the bullish side. Now, while there is good reason behind such optimism, it’s worth pointing out that these projections don’t account for variables like black swan events.
So, what is everyone saying?
According to Changelly, BTC might peak at around $937k in 2030, with the cryptocurrency trading at an average price of $798k. I
What drives these projections? Well, a couple of reasons. For starters, most are optimistic about the value of the crypto’s scarcity coming into play. Secondly, maximalists envision a future where demand for Bitcoin is endless. Finally, with Bitcoin adoption rising by 113% annually, many believe the same will one day be highlighted by BTC’s price.
There are other projections too, ones even more bullish. According to Parallax Digital’s Robert Breedlove, for instance, BTC will hit $12.5M by 2031. Now, he did say that the cryptocurrency will hit $307k by October 2021. Ergo, there’s good reason why some might not take him seriously.
Bitcoin Price Prediction 2040
2040 is 18 years away. 18 years. Even Bitcoin isn’t 18 yet.
Needless to say, projecting a price level for 2040 is even more difficult, with a whole host of uncertainties around. For the sake of argument, let’s just assume everything else remains the same as it is, how then is BTC likely to do on the charts by 2040?
Well, some have taken a good shot at answering this question.
According to Telegaon, BTC will enjoy an average trading price of $553k, ‘depending on market trend,’ by 2040. It went on to predict,
“Our maximum price prediction for Bitcoin is $618,512.87 in 2040. If the market gets bullish, Bitcoin may surge more than our BTC price forecast in 2040.”
Others have been more vague, with some declaring million-dollar valuations without a definitive timeline for the same. Perhaps, this is for good reason too. After all, blockchain and crypto-trends might change by 2040. Furthermore, who knows what will happen if Bitcoin’s growing adoption doesn’t coincide with a corresponding drive to address its speed and scalability.
Also, for all its growth, it’s difficult to see the crypto outgrow the price dynamics that come with its supply and demand side. In fact, look no…
Read More: Bitcoin price prediction 2025 – 2040: Can BTC hit $937K by 2030?