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Analysts from the American investment firm ARK Invest have indicated that the market capitalization of Bitcoin, currently around $1.5 trillion, could increase to $16 trillion by the year 2030.
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This more than tenfold growth is expected to be driven by the accelerated adoption of BTC among major corporations and the evolution of cryptocurrencies into an asset class that is integrated into investment portfolios globally, according to the analysts.
The ARK Invest specialists compared Bitcoin’s market capitalization to that of gold, which is valued at approximately $12 trillion. They believe that characteristics of the leading cryptocurrency, such as its limited supply and transparency, position it as an alternative to traditional savings methods. If Bitcoin captures around 40% of the gold market, this could add roughly $10 trillion to its market cap and potentially push its price above $730,000, the investment experts suggested.
Overall, the cryptocurrency market, as estimated by ARK Invest, has the potential to grow from its current $2.7 trillion to $28 trillion, with the leading cryptocurrency maintaining a dominant share. At the same time, the analysts acknowledge ongoing risks, including potential regulatory constraints, technological vulnerabilities within the industry, and competition from other assets.
All these factors could hinder the growth of the cryptocurrency market capitalization. However, the advancement of blockchain technologies and infrastructure is expected to help overcome existing limitations swiftly, the ARK Invest analysts assured.
Previously, the founder of Into the Cryptoverse, Benjamin Cowen, stated that despite the rising prices of major altcoins, liquidity is always absorbed by Bitcoin in the later stages of the market cycle.
