VanEck Predicts Bitcoin Could Reach $2.9 Million In New Long-Term Capital Report

VanEck's research forecasts Bitcoin potentially reaching $2.9 million by 2050 based on a 15% CAGR. The analysis hinges on Bitcoin's role in global trade settlement and as a reserve asset for central banks. The "Settlement Pivot" predicts Bitcoin settling a portion of international and domestic trade by 2050. Diminishing trust in G7 sovereign debt could lead central banks to allocate resources to Bitcoin. A "hyper-bitcoinization" bull case scenario envisions Bitcoin reaching $53.4 million if it captures a larger share of global trade. This optimistic scenario depends on Bitcoin rivaling gold as a primary global reserve asset. The report uses a baseline Bitcoin price of $88,000, projecting these values. A bear case still envisions Bitcoin reaching $130,000. VanEck anticipates Bitcoin having low to moderate correlation with traditional assets. The report highlights a persistent negative correlation between Bitcoin and the US dollar.