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According to AllianceBernstein, a Nashville-based global asset management firm, has predicted that the price of Bitcoin, the leading cryptocurrency, could surge to as high as $1 million by 2033.
The firm believes that it could take the cryptocurrency four years to double its price once it potentially reaches $500,000 in 2029.
As for this year, Bernstein has increased its year-end price target from $150,000 to $200,000 in its new note despite its current underperformance.
Its bullish case is mostly based on significant demand for Bitcoin exchange-traded funds that launched earlier this year. Bernstein has predicted that Bitcoin ETFs will account for as much as 15% of the cryptocurrency's total supply less than a decade from now.
However, as reported by U.Today, JPMorgan does not share this bullish view. The banking giant recently poured cold water on Bitcoin ETFs, claiming that their net flows are significantly overestimated. JPMorgan has attributed more than half of the inflows to a rotation from wallets on crypto exchanges. Moreover, its analysts expect Bitcoin inflows to slow down in the future.
Bernstein also bullish on MicroStrategy
The firm has also stated that it has a bullish $2,890 price target for business intelligence firm MicroStrategy, which is primarily known for its massive Bitcoin holdings that currently stand at roughly $7.5 billion.
The company's shares are currently trading at $1,515 a pop, up almost 2% over the past 24 hours.
Bernstein has taken note of MicroStrategy's aggressive strategy of leveraging long-term convertible debt to buy more Bitcoin. This sets it apart from passive spot ETFs.
The firm bumped up its latest debt offering to $700 million, according to its Friday press release.
As reported by U.Today, prolific Bitcoin critic Peter Schiff recently criticized Saylor's strategy, warning that creditors might force MicroStrategy to liquidate its holdings.
Arman Shirinyan
