Analysts from VanEck predict that Bitcoin could potentially reach $2.9 million by the year 2050 if it transitions to a primary currency for both domestic and international trade, while also increasing its presence in central bank reserves.
The forecast suggests a 15% compound annual growth rate and anticipates Bitcoin settling between 5% and 10% of global trade, along with a 5% share of domestic transactions.
According to Sigel and Bush, the anticipated increase in Bitcoin’s value will be largely driven by an expansion of global liquidity and ongoing monetary debasement:
“Bitcoin is not a tactical trade in this framework; it functions as a long-duration hedge against adverse monetary regime outcomes.”
They estimate that up to 2.5% of the assets held by central banks could be in Bitcoin, while projecting that at the $2.9 million level, Bitcoin would represent approximately 1.66% of the entire global financial assets.
VanEck’s assessment includes baseline scenarios along with variations where a bear market would see Bitcoin dropping to $130,000 while a bull scenario predicts it might soar to $52.4 million.
Bitcoin is already seeing use in global trade, particularly in sanctioned countries including Venezuela, Iran, and Russia, but has seen limited adoption in G7 nations.
If Bitcoin captures the expected 5-10% market share, it could rival the usage of the British Pound in current international trade.
For more detailed analysis, you can visit VanEck.
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