- Gautam Chhugani of Bernstein predicts Bitcoin could replace gold as the top store of value within ten years.
- Bitcoin’s potential role in corporate finance significant, with projections suggesting a rise to $200,000 next year.
Bernstein analyst Gautam Chhugani has projected that Bitcoin is poised to supplant gold as the primary store of value over the next decade. According to Chhugani, Bitcoin is expected to play a significant role in corporate finance, with predictions pointing towards a potential surge in its value to as much as $200,000 by next year.
The shift towards viewing Bitcoin as a “ digital gold ” has gained traction after initial challenges in establishing it as a common means of payment. This perspective has been bolstered by Federal Reserve Chair Jerome Powell’s recent remarks, in which he likened Bitcoin to a digital equivalent of gold.
#BITCOIN TO REPLACE GOLD OVER NEXT DECADE, SAYS BERNSTEIN
Bernstein predicts Bitcoin will replace gold as the leading 'store of value' over the next decade, becoming integral to institutional and corporate finance. Analyst Gautam Chhugani's note followed Bitcoin reaching…
— *Walter Bloomberg (@DeItaone) December 5, 2024
These comments contributed to Bitcoin’s price reaching over $100,000 for the first time this past Thursday.
Adam Back, has also forecasted that Bitcoin could reach such a valuation within the year. Currently, the market valuation of gold stands at approximately $17.9 trillion, with Bitcoin at around $2 trillion, having recently surpassed silver’s market cap of $1.8 trillion.
Despite Bitcoin’s recent success and rising acceptance, critics like Peter Schiff remain skeptical. Schiff, a staunch supporter of gold, criticizes the Bitcoin investment wave, arguing that it results in significant losses for late investors and represents a misuse of capital that could be otherwise employed more productively.
He asserts that the societal cost of what he considers a speculative bubble far outweighs any potential financial gains from trading in Bitcoin.
This debate highlights the evolving perceptions of Bitcoin’s utility and stability as an asset. As Bitcoin continues to challenge traditional financial narratives and gains endorsement from prominent financial figures, its role in both individual investment portfolios and broader corporate finance seems set to increase.
The next few years will be critical in determining whether Bitcoin can truly rival gold as a foundational asset in the global financial system.
Bitcoin (BTC) is currently priced at $96,519 USD, showing a decline of 2.28% in the last 24 hours. Despite this, Bitcoin has achieved significant milestones recently, including surpassing the $100,000 mark, with an all-time high recorded at $104,000.
Key Highlights:
- Market capitalization: $1.91 trillion.
- 24-hour trading volume: $149.25 billion.
- Year-to-date growth: Up 128.16%.
- Circulating supply: 19.79 million BTC.
