Bernstein Analysts Lower Bitcoin Target to $200,000, Focus on $1 Million
In their last market analysis, Bernstein analysts Gautam Chhugani and Mahika Sapra updated their Bitcoin price predictions and began MicroStrategy coverage. These researchers also listed possible causes of BTC's exponential price rise.
Bitcoin Will Reach $200,000, Then $1 Million
In the analysis, Chhugani and Sapra anticipated that BTC would reach $200,000 by 2025 and $1 million by 2033. Bernstein projected Bitcoin will hit $150,000 by 2025. These analysts have updated their targets and cited institutional demand for BTC as a rationale for its potential.
The research company expects Spot Bitcoin ETFs will continue to perform well and that Bitcoin under management may reach $190 billion by 2025, up from $60 billion for funds today.
As Spot Bitcoin ETFs continue to amass a large quantity of Bitcoin for its ETFs, these experts predict BTC's price to fall due to supply and demand. Two Bitcoin halvings before 2033 will further reduce miners' supply, supporting their base scenario of BTC exceeding $1 million.
MicroStrategy Gains From BTC Growth
Outperform-rated Berstein analysts also covered MicroStrategy. They expect the software company's shares to reach $2,890 due to BTC exposure. Currently at $1,500, MicroStrategy stock has risen 95% to $2,890.
The research group said MicroStrategy is “building the world’s largest Bitcoin company.” Chhugani and Sapra said the software firm has grown from a “small software company to the largest BTC holding company” since August 2020.
MicroStrategy holds $14.5 billion in Bitcoin, 1.1% of the total supply. Recent plans to sell $500 million of Convertible Senior Notes should boost the company's BTC holdings. BTC will be purchased with some of the selling earnings.
