Bernstein analysts Gautam Chhugani and Mahika Sapra recently revised their price targets for Bitcoin in their latest market report, which also initiated coverage on Accurate strategy. These analysts also identified factors that they believe could contribute to the massive rise in Bitcoin prices.
Bitcoin will reach $200,000, then $1 million
In the report, Chogani and Sapra predicted that Bitcoin would rise to a high of $200,000 by 2025 and that the major cryptocurrency would reach $1 million by 2033. Bernstein had predicted I expected earlier The price of Bitcoin will reach $150,000 by 2025. However, these analysts have now revised their targets and hinted at Institutional demand for BTC as one of the reasons they believe the flagship cryptocurrency can reach such heights.
Related reading
The research company expects that Bitcoin ETFs It will continue to record impressive demand and Bitcoin under management could reach $190 billion by 2025, a significant increase from the $60 billion in Bitcoin managed by issuers already.
In other words, these analysts expect Bitcoin price To give in to the dynamics of supply and demand, keeping in mind that Bitcoin in circulation is bound to decline significantly as Spot Bitcoin ETFs continue to accumulate a large amount of crypto token for their ETFs. Moreover, two Bitcoin halving It is scheduled to occur before 2033, which will lead to a further decline Miners' supplies Thus supporting their basic cause BTC reaches $1 million.
MicroStrategy to profit from BTC growth
Burstein analysts also began covering Accurate strategy With a superior rating. They expect the software company's stock to rise to $2,890 thanks to its exposure to Bitcoin. The rise to $2,890 represents a roughly 95% increase for MicroStrategy stock, which is Currently estimated About $1500.
MicroStrategy has committed to “building the largest Bitcoin company in the world,” the research firm noted. This has already paid off so far, with Chogani and Sapra stating that the software company has gone from “a small software company to the largest Bitcoin holding company” since August 2020 (when it began accumulating Bitcoin).
MicroStrategy already owns it 1.1% of the total supply of BitcoinWith holdings worth about $14.5 billion. The company's Bitcoin holdings are expected to increase soon enough, as happened recently Announce It plans to offer $500 million of convertible senior notes. Some of the proceeds from the proposed sale will be used to purchase additional BTC.
Related reading
Berstein highlighted how the company's co-founder Michael Saylor It has become synonymous with the Bitcoin brand and the company's status as a leading Bitcoin company has helped attract “large-scale capital (both debt and equity) for active activity.” Bitcoin acquisition strategyIn dollar terms, Bernstein noted that MicroStrategy's net asset value (NAV) per share “rose nearly four-fold, outpacing the 2.4x growth in the spot price of bitcoin.”
“We believe MSTR's long-term convertible debt strategy allows it sufficient time to capitalize on Bitcoin's upside, with limited liquidation risk to its Bitcoin on the balance sheet.” Chogani and Sapra added.
Featured image created with Dall.E, chart from Tradingview.com