Two-thirds of this year has passed. As the Bitcoin spot ETF was approved for listing in early January and the latest round of halving events was completed in April, the price of BTC once reached a record high of US$73,000, but it has been unable to set a new record since then. The high point was as low as $53,000 in early July, which made investors a little more worried about the future of Bitcoin.
Analyst: Institutions allocate 3% of Bitcoin, and the price of the currency exceeds at least US$700,000
On this occasion, Willy Woo, a cryptocurrency analyst with millions of tracking numbers, published an article on The price of the coin will likely reach $700,000:
Wealth management is virtually predictable and funds are always allocated in a conservative manner. Even in the early days of BTC as an asset class, Fidelity's recommendation was an allocation of 1% to 3%, while we can see BlackRock's allocation as high as 85%.
If we assume that 3% is a reasonable allocation ratio, then the lower limit of Bitcoin's valuation would be $700,000.
In addition, when will institutions deploy Bitcoin? Willy Woo provided a data chart of the Bitcoin adoption curve, indicating that the global adoption rate of 16% is the early majority and 50% is the late majority, and institutions usually enter the market within this range.
So, follow the yellow line to find out when BTC adoption enters 16%-50% global adoption.
In the figure below, we can see that the global adoption rate of BTC is only 4.7%, which is still in a very early stage. However, the dynamic zone reminds that this chart seems to be produced by Willy Woo himself. He has not provided detailed analysis data, so the accuracy may yet to be verified.
Extended reading: Bitcoin broke through $70,000 and immediately "plumbed $4,000" in just one minute. Is the bull market dream shattered?
