Marathon Digital Holdings CEO Fred Thiel has a very optimistic outlook on the future of Bitcoin. Thiel stated that Bitcoin will see a significant rise from the beginning of 2025 until President Donald Trump’s inauguration. Thiel predicts that Bitcoin will see a rise of approximately 108% from current levels in the coming months. However, before this rise, he noted that the Bitcoin price could fall to some levels in November 2024.
The Role of Strategic Reserves
The CEO emphasized that the US creating a strategic Bitcoin reserve would have a positive impact on the cryptocurrency market. He stated that if other countries take similar steps, Bitcoin's limited supply could put great pressure on the price. Thiel stated that the Bitcoin supply is limited to 21 million and that a large portion of this supply has already been mined, and that investors turning to Bitcoin through retirement funds and ETFs has significantly increased demand.
Noting that Bitcoin’s current trading price is $96,200, Thiel predicts that the combination of limited supply and increasing demand will have a positive long-term impact on the price. Furthermore, the rapid growth of Bitcoin ETFs, surpassing gold ETFs, suggests that institutional investors are increasingly interested in Bitcoin.
These developments in the Bitcoin market show that investors continue to be interested in cryptocurrencies. Limited supply and increasing demand can support Bitcoin's long-term appreciation. The creation of strategic reserves has the potential to provide stability and confidence in the market.