Financial experts at Bernstein, a reputable asset management firm, have made a bold prediction about Bitcoin (BTC) reaching $1 million by the year 2033 while analyzing MicroStrategy stock.
Despite the current uncertainty in the market, the long-term outlook for Bitcoin remains positive, as highlighted by recent forecasts from Bernstein, a major American asset manager with $759 billion in assets under management (AUM) as of the latest data.
Bernstein’s analysis of MicroStrategy is optimistic, rating the company’s stock (MSTR) as “outperform” and projecting a target price of $2,890. This represents a significant 94% increase from MSTR’s current value of $1,483 at the close of the previous market session.
The analysts believe that MicroStrategy is well-positioned to benefit from a potential bullish phase for Bitcoin, given the company’s significant exposure to the cryptocurrency. With 214,400 BTC valued at $14.42 billion on its balance sheet, MicroStrategy is one of the largest institutional holders of Bitcoin. Led by chairman Michael Saylor, a prominent Bitcoin advocate, the company is even planning to acquire more Bitcoin through a recent $500 million bond offering.
As Bitcoin’s price continues to rise, MicroStrategy stands to gain even more from its substantial holdings. At the moment, the company has an unrealized profit of around $7 billion from its Bitcoin investment, a figure that could increase significantly if BTC experiences a substantial price surge, as predicted by Bernstein analysts.
Looking back, after Bitcoin reached a new all-time high above $72,000 in March, Bernstein analysts were confident that the cryptocurrency could hit $150,000. However, they have now revised their target to $200,000 for the current cycle.
In contrast, market veteran Peter Brandt has shifted from a bullish to a bearish outlook, suggesting that BTC may have already peaked for this cycle and could drop to $48,000. On the other hand, Bernstein analysts are optimistic about Bitcoin’s future, expecting it to reach $200,000 next year and $500,000 by 2025, with a long-term projection of $1 million by 2033.
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