Crypto legend Adam Back predicts Bitcoin hitting $500,000 or even $1 million by late 2025, driven by ETFs and booming institutional demand. Can BTC truly reach these heights? Let's unravel this bold forecast.
Currently, Bitcoin is trading around $94,740, but Adam Back, CEO of Blockstream, believes this is just the beginning of a massive bull run. According to him, we are still in the early stages of a major Bitcoin cycle, fueled by historic demand.
With the introduction of Bitcoin ETFs, major Wall Street players entering the market, and sovereign funds eyeing Bitcoin, the race to secure the limited supply is more intense than ever.
Adam highlights a wave of new capital flooding into the market. ETFs are buying twice as much Bitcoin as what is being mined daily. At the same time, companies like MicroStrategy and an increasing number of institutional investors are aggressively adding Bitcoin to their balance sheets. Even retail investors are accumulating satoshis through dollar-cost averaging (DCA).
But that’s not all. Adam believes that once a major country starts buying Bitcoin as a strategic asset reserve, a domino effect will ensue. Other nations would not want to be left behind. This trend, coupled with the growing interest from pension funds and mutual funds, could create an unprecedented buying pressure.
According to CoinGlass, ETFs have attracted $36 billion since January 2024, led by giants like BlackRock. Companies like MicroStrategy, holding 450,000 BTC ($45 billion), and sovereign funds exploring BTC are fueling this frenzy.
Back mentions a potential “domino effect”: if a major country adopts Bitcoin as a strategic reserve, others will follow suit, with a 31% likelihood of a US reserve by 2025, as per Polymarket. This dynamic, combined with retail accumulation through dollar-cost averaging, diminishes available liquidity, driving prices up.
Based on these factors, Back expects Bitcoin to reach between $500,000 and $1 million by the end of this cycle, potentially before the end of 2025. He believes that considering $100,000 as a peak would be well below reality given the current context.
These bold predictions by Adam Back are sparking much discussion in the crypto community. As Bitcoin continues on its growth trajectory, investors are closely watching this prediction that could redefine market standards.
In the long term, forecasts like those of Cathie Wood ($1.5M by 2030) or Bernstein ($1M by 2033) support the idea of a seven-figure BTC, but a speculative bubble followed by a sharp correction remains a risk.
The April 2024 halving, which reduced miners’ reward from 6.25 to 3.125 BTC, accentuates Bitcoin’s scarcity. Historically, halvings trigger rallies within 12 to 18 months, although Back notes muted gains in recent cycles, attributed to the 2020 pandemic and massive monetary printing. Today, with monetary tightening and increasing adoption, he anticipates “exponentially upward volatility.” Long-time holders are locking up their BTC, further tightening supply. Keep a close watch.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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