Bitcoin
Bitcoin at $350,000 with $500 billion in ETFs? ‘It doesn’t seem like an exaggeration’ – DL News
- VanEck head of digital asset research Matthew Sigel says Bitcoin could reach $350,000 by 2030.
- He predicted that crypto ETFs could have more than $500 billion in assets by then.
- Changing political winds and increased adoption among young people will drive up prices.
One Bitcoin will be worth more than $350,000 by the end of the decade. Meanwhile, Ether could cost $22,000.
That’s according to Matthew Sigel, head of digital asset research at VanEck, an investment firm with $90 billion in assets under management.
Sigel said DL News that in this scenario, crypto exchange-traded funds could end up hoovering up $500 billion in assets over the next five years.
“It doesn’t seem like a stretch,” Sigel said.
Changing political winds
Since January, Bitcoin ETFs have accumulated a record $60 billion in assets.
But the funding may just be beginning.
“Bitcoin is likely to exceed $350,000 by 2030” due to shifting political winds and increased adoption among young people, Sigel told DL News.
“Election after election, this year ended with the most pro-crypto candidate winning,” Sigel said, adding that in the short term, investors will try to lead a potential second Trump presidency by buying Bitcoin by November.
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Former US President Donald Trump recently promoted himself as pro-crypto, unlike President Joe Biden, who is generally seen as averse to the industry.
$500 billion in assets
To reach Sigel’s $350,000 target, Bitcoin would have to rise about 400% from its current price. This means that the $60 billion already held in ETFs would increase to $300 billion based on appreciation alone.
This is without counting the new flows, which Sigel estimated would reach 10 billion dollars per year.
As for Ethereum, Sigel predicted that yet-to-be-launched spot ETFs will attract $15 billion over a six-month period and then about $5 billion a year in new flows.
But Sigel estimated that the price of Ether could reach $22,000, which would increase the value of the ETF’s assets.
In total, crypto funds could end up with assets worth $500 billion across all products.