Bitcoin will replace gold this decade

With Bitcoin hovering below $ 60,000, the cryptocurrency community has turned its attention back to building rather than price. Bitcoin bull Michael Saylor is an exception. The CEO of MicroStrategy, whose company has more than 114,000 bitcoins on its balance sheet and is not yet finished buying, is looking through a long-term lens and, as always, optimistic about the BTC price.

Saylor spoke to CNBC about Bitcoin as a store of value and its long-term view on BTC price. He presented a scenario in which the price of Bitcoin doubles annually until it turns gold at the end of the current decade.

From there, he expects it to “flip” “money indices” as well as some bonds, real estate and stocks before becoming a $ 100 trillion asset class. At that point, Bitcoin would make up 5-7% of the U.S. economy, Saylor explains, suggesting that only a handful of fiat currencies remain, including the U.S. dollar, euro, and CNY.

“By the end of the decade, it’ll have flipped gold, and then it’ll flip currency indices, a little bit of bonds, a little bit of real estate, a little bit of stocks, and move up to an asset class of $ 100K,” @saylor says on #bitcoin. “100x from wherever it is.” pic.twitter.com/PIOBQ3wc0N

– Squawk Box (@SquawkCNBC) November 19, 2021

Saylor also believes that volatility will decrease as the Bitcoin price rises.

If the price is much higher then the volatility will be much lower. #Bitcoin

– Michael Saylor⚡️ (@saylor) November 19, 2021

Bitcoin vs. gold

With inflation at a 30-year high and unlikely to subside anytime soon, stores of value like bitcoin and gold are high on the list. Gold did what it was meant to do and has risen, with the price currently hovering around $ 1,860. Bitcoin recently hit a new all-time high but is currently experiencing a downturn.

Saylor said there was a war going on for the title of “non-government bearer instrument store of value,” with Bitcoin on one side versus gold and silver on the other. Although gold’s market capitalization surpasses Bitcoin’s $ 10 trillion versus $ 1 trillion, Bitcoin is gaining and will continue to do so, according to the MicroStrategy chief executive. He pointed to the maneuverability of digital gold as well as the speed at which it can be traded compared to bullion, not to mention the lower cost associated with the digital asset. Saylor predicted

“It’s pretty clear that digital gold will replace gold this decade.”

Bitcoin price has risen more than 120% since around mid-July.

Comments are closed.