Coinbase chief Brian Armstrong echoes the million-dollar prediction for Bitcoin in a bullish outlook that mirrors John McAfee’s optimism.
The bold outlook reignites the debate on the astronomical price prediction. In his Jan. 21 forecast, Armstrong suggested that the pioneer digital asset could navigate unchartered territory to test multiple millions in value for the new dawn in crypto.
Armstrong informed CNBC on Tuesday morning that the solid surge witnessed on Jan. 20 as Bitcoin attained a new all-time high signals the seven-figure milestone is attainable. The pronouncement endorses the ambitious prediction issued by John McAfee, anticipating $500K by December 2020 using a model that considered the $5,000 mark by 2017. McAfee would, in late November 2017, revise the forecast, acknowledging the accelerated BTC price supports a possible $1 million price level by December 2020.
Factors to Fuel BTC to Million-Dollar Milestone
Unlike the wild McAfee prediction, Coinbase CEO issues four factors to fuel the accelerated elevation of Bitcoin to the seven-figure milestone. The executive considers that institutional adoption will stimulate upward projection in digital assets. Still, the spot Bitcoin exchange-traded fund (ETFs) has a lot left in its gas and is likely to build upon the impressive run witnessed in 2024.
Armstrong singles out the potential of the strategic BTC reserve promised by Trump while addressing the Bitcoin 2024 Conference in July. He indicates that the US could trigger FOMO among other developed nations that could rush to create their reserves.
The Coinbase boss considers Bitcoin to have a long journey, though it has credentials of the new gold standard. He reiterated that crypto is set to have a bigger input beyond the typical gold standard.
Armstrong shares a comparable endorsement for Bitcoin as MicroStrategy’s chair, who wades into the high-stakes prediction game. The tech entrepreneur behind MicroStrategy’s purchase of Bitcoin, valued at over $49 billion, indicated in September last year that BTC could surpass $13 million in 21 years’ time. Accomplishing the million-dollar figure by Saylor mandates over 12,000% rally from its current price range of $104,000. Saylor elaborated on the bullish sentiment emerging from the ongoing developments in US politics, primarily from Trump’s firm stance to support crypto.
Saylor observes that GOP lawmakers have embraced a progressive view towards crypto in the recent past. Such portrays a stark contrast from Democrats regarded as proponents of Chokepoint 2.0. Still, a substantial number of Democrats are seen to drift to the middle towards Bitcoin.
Heavy Investment in Bitcoin
Coinbase and MicroStrategy have scaled their investment in Bitcoin success. While Coinbase relies upon trading activity to optimize revenue, MicroStrategy has bet on the treasury currency, holding slightly above 2% of the total crypto supply.
MicroStrategy’s (MSTR) price shows explosive growth since Saylor oriented the business intelligence to the Bitcoin buying spree back in 2020 while the asset exchange hands at below $12,000.
Despite the Securities and Exchange Commission (SEC) approving spot Bitcoin ETFs early last year, MSTR still serves as a proxy for investors seeking Bitcoin exposure within the traditional markets. Reflecting on Coinbase and MicroStrategy’s performance this year, substantial gains for COIN are 20% and MSTR 22% YTD, 138%, and 615% in the past year, per MarketWatch data.
Why Does This Matter?
Armstrong’s bullish forecasts coincide with a bullish phase for institutional investors. Bitcoin is witnessing extreme greed as investors buy to hold.
Armstrong avoided issuing a specific timeline in his prediction, contrary to McAfee, who anticipated Bitcoin would hit $1 million by December 2020. The noncommittal Armstrong prediction retains technical validity till the universe ends.
The bullish prediction by Coinbase and MicroStrategy key figures is aided by Trump’s swift action to sign the executive order. The Jan.23 development set the US within a renewed pathway to eliminate regulatory ambiguity that hampered the sector during the Biden administration.
A critical piece of the executive order is the working group that will work towards establishing the national digital asset stockpile. The reserve is set to feature cryptocurrencies the Federal seizes during the law enforcement efforts.
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