jakiro
Author: Martin
Strategy Executive Chairman Michael Saylor recently shared a stunning prediction of Bitcoin’s future in a podcast interview:Bitcoin may appreciate at an average annual rate of nearly 29% over the next two decades.
Bitcoin is quietly transforming from a crazy speculative game into a value storage tool favored by institutions.He believes that Bitcoin’s recent flat price trend is not a weakness, but a strong performance of the market, and the market is in a consolidation stage-Long-term holders are selling some of their positions, while institutional investors are preparing for larger allocations.
Volatility fadesIt is a very positive signal, which creates the conditions for large institutional investors to enter this field and make large-scale investments.
The market has entered a mature stage, and institutional investors are accelerating their entry
Saylor points out that the Bitcoin market is going through a“Growth Stage”, which is a natural component of its life cycle, as institutional investors accelerate their entry,Bitcoin volatility declinesIt makes its retail investors who “pursuing stimulation” become “boring”, but this belongs to the natural growth stage and is a positive signal.
Data shows that this transformation is indeed underway, with the centralized exchange’s Bitcoin reserves falling to about 2.5 million, the lowest level since October 2018, and from the end of 2024 to the present, 500,000 Bitcoins have flowed out of the exchange in just a few months.
Bitcoin Treasury Company Rises, Recycling Stranded Capital
Strategy (formerly MicroStrategy) is the world’s most well-known enterprise-level Bitcoin holding agency, and itsBig investments and unique business models of BitcoinMake it the focus of the intersection of cryptocurrencies and traditional finance.
StrategyHolds a total of 638,985 bitcoins.The largest Bitcoin DAT company, worth approximately US$74 billion, is its innovative digital asset treasury (DAT) model, operating at the core:The company raises funds through issuing stocks (such as “issuing market-based” ATM plans) and multiple bonds (especially convertible bonds and preferred stocks) to buy and hold Bitcoin in large quantities..
Saylor likens the rise of Bitcoin Treasury companies to early stages in the petrochemical industry, predicting that a variety of products, business models and wealth will continue to emerge in the chaotic but changing decade, he elaborated that Bitcoin Treasury companies “recycle stranded capital like miners recycle stranded energy”, a trend that has emerged since November 2024.Listed companies have withdrawn more than 425,000 BTC from the exchange.
Investment landscape changes dramatically, respond to the new cycle rationally
Faced with the market shift, Saylor recommends investors to understand that Bitcoin’s role has changed—It is transforming from speculative assets to store of value tools,With the addition of large institutions and enterprises, the Bitcoin market is expected to gain greater recognition and support and continue to play an important role in the global financial system.
Saylor’s vision is being partially verified, institutional investors are steadily increasing their allocation to Bitcoin, BlackRock has accumulated through iShares Bitcoin TrustMore than 662,500 Bitcoins, accounting for more than 3% of the total supply of Bitcoin.More than 8% of the total supply of Bitcoin in circulation is now held by governments and institutional investors, and this sovereignty and institutional participation in decentralized assets is unprecedented.
We will witness a“Digital Gold Rush”, During this period, a large number of new models and new products will appear, which will also be accompanied by mistakes and wealth creation.
