According to analysts at Bernstein, the short-term correlation between Bitcoin (BTC) and assets like gold or the Nasdaq index can be misleading for investors.
They emphasize that the real price movement will be driven by a reduction in retail selling pressure, an accelerating race among institutions to accumulate Bitcoin, and renewed inflows into Bitcoin ETFs, all potentially leading to a significant supply squeeze. The emergence of new initiatives like Twenty One Capital, set to start operations with 42,000 BTC, highlights the growing institutional demand.
Bernstein reports that over 80 companies now hold approximately 700,000 BTC, representing 3.4% of the total supply, while ETFs collectively control about 5.5% of all mined Bitcoin.
Additionally, with the U.S. recently signing the “Strategic Bitcoin Reserve” order, government-backed accumulation could further boost Bitcoin demand. Bernstein projects that Bitcoin could reach $200,000 by the end of 2025, $500,000 by the end of 2029, and $1 million by 2033. In the long term, the combination of limited supply and rising demand sets a strong foundation for Bitcoin’s continued growth.
