MicroStrategy Executive Chairman Michael Saylor has presented a case suggesting Bitcoin may avoid another prolonged crypto winter, driven by fundamental supply and demand dynamics. He forecasts the cryptocurrency could potentially reach $1 million, fueled by increasing institutional adoption and market scarcity.
Saylor highlights the daily release of approximately 450 Bitcoin (worth roughly $50 million) by miners as a key factor. He argues that consistent absorption of this new supply by buyers creates inherent upward price pressure.
Institutional accumulation is cited as a major driver reducing market liquidity and intensifying scarcity. MicroStrategy’s own holdings, exceeding 582,000 Bitcoin acquired since 2020, serve as a prime example of this trend.
Growing political acceptance, including endorsements from figures like Donald Trump, and regulatory developments enabling traditional banks to offer custody services, signal increasing legitimacy for Bitcoin. Saylor also notes nation-states like Pakistan entering the market, recognizing Bitcoin as a sovereign asset, while cautioning the US risks falling behind in strategic accumulation.
Despite his bullish long-term outlook targeting $500,000 to $1 million per Bitcoin, Saylor acknowledges the potential for significant volatility at these higher price levels, including possible corrections of around $200,000.