Alright, let me put it simply, Gen Z style!
1. Whales have only given up 2%, the potential is huge
• Simply put, the big “whales” are currently playing lightly with Bitcoin, only putting about 2% of their assets into it. If they decide to increase it, say 5% or 10%, the price of Bitcoin will definitely skyrocket.
• Bitcoin is limited to only 21 million coins, the rarer the more valuable. So, if more money from whales flows in, the price will fly higher.
2. The “Stock-to-Flow” model sounds dry but is true
• There is a model called “Stock-to-Flow” (S2F) that predicts Bitcoin price based on its scarcity. Every time Bitcoin reduces its mining reward (halving), the supply decreases, and the price is predicted to increase.
• According to this model, Bitcoin could reach $100,000 - $500,000 in the next few years, if everyone wants to own it. So, don't be surprised if Bitcoin goes sky high in price later.
3. Big organizations come in, price can surpass gold
• To put it in perspective, investment funds and large banks are holding trillions of dollars. If these guys put just 1% into Bitcoin, the price would have to climb to several hundred thousand dollars per coin.
• Currently, people consider Bitcoin as “digital gold”. If it really replaces gold in the portfolios of large investment funds, it would be normal for Bitcoin to hit $250,000 or $500,000.
4. Bitcoin Bullish Scenarios
• Scenario 1 - Strong growth: If everyone recognizes Bitcoin as the “king” and large organizations invest heavily, the price could rise from 250,000 to 500,000 USD in the next 5-10 years.
• Scenario 2 - Moderate: If Bitcoin remains a mild defensive asset (like 2-5% of the big guys' portfolios), the price will be in the $100,000 - $250,000 range.
• Scenario 3 - Cautious: Big investors play moderately, don't pump in much money, so the price can hover around 70,000 - 100,000 USD.
5. Sounds easy but there are risks.
• Tighter regulations: If big countries like the US or China start to tighten Bitcoin too much, the price will be affected.
• Competition from national digital currencies: The emergence of several government digital currencies could dethrone Bitcoin.
• Corporate and national adoption: If more and more large companies or entire countries accept Bitcoin like El Salvador, the future of Bitcoin will be as bright as the sun.
In short, if the "big guys" just entered with a small 2% and saw the price of Bitcoin increase like that, then if they play big and put in more, it won't be strange if Bitcoin reaches around 100,000 - 500,000 USD in the future.
