Bitcoin’s Scarcity May Contribute to Potential Price Surge Toward $1 Million

Key Points

1. Bitcoin's fixed supply of 21 million coins contrasts with increasing global liquidity, creating a supply-demand imbalance that could push prices higher.

2. The M2-per-Bitcoin ratio, currently at a 12-year high of $5.7 million, highlights Bitcoin's scarcity relative to global money supply.

3. Institutional adoption and sovereign interest are increasing demand, with firms like River reporting significant Bitcoin holdings since mid-2024.

4. Investor Fred Krueger suggests that just $1 trillion could push Bitcoin to $1 million, emphasizing its role as a hedge against monetary debasement.

5. Key metrics, such as the M2-per-Bitcoin ratio and institutional inflows, support a bullish long-term outlook for Bitcoin's price.