Bitwise Chief Investment Officer Matt Hougan has projected that Bitcoin could surge to approximately $1.3 million by 2035, citing accelerating institutional adoption as a primary catalyst. In a recent discussion with Cointelegraph, Hougan elaborated on the factors driving this optimistic forecast, emphasizing Wall Street’s escalating integration of cryptocurrency into traditional financial frameworks.
Hougan’s analysis hinges on the expanding allocation of institutional portfolios to Bitcoin. As major financial entities, including asset managers, hedge funds, and publicly traded corporations, increasingly recognize Bitcoin as a legitimate store of value and hedge against inflation, demand is expected to rise substantially. This institutional influx, coupled with Bitcoin’s fixed supply of 21 million coins, creates a compelling supply-demand dynamic that could propel valuations upward.
Furthermore, Hougan highlighted the maturation of regulatory frameworks and the development of robust financial infrastructure, such as Bitcoin exchange-traded funds (ETFs), as critical enablers. These advancements lower barriers to entry for institutional investors, fostering greater liquidity and market stability. The growing acceptance of Bitcoin as ‘digital gold’ reinforces its long-term investment appeal, potentially mirroring gold’s market capitalization over time.
While acknowledging market volatility and macroeconomic uncertainties, Hougan’s thesis underscores a transformative shift in global finance. If institutional adoption continues at its current trajectory, Bitcoin’s valuation could redefine asset class performance metrics by the mid-2030s.
