Experienced cryptocurrency investors know that there are plenty of large, not-yet-reached bitcoin forecasts floating around. The largest digital currency has been dithering in a range of $26,000 to $30,000. And mostly on the lower end for several months now. Crypto novices may find it difficult to believe Bitcoin’s best days may lie ahead.
Those investors might want to take heart because some crypto experts are incredibly bullish on bitcoin and if their forecasts come anywhere close to being accurate, exchange traded funds such as the Invesco Alerian Galaxy Crypto Economy ETF (SATO).
Consider commentary from BitMEX founder Arthur Hayes. In a recent interview with YouTuber Tom Bilyeu, Hayes said he believes the dominant cryptocurrency can ascend from $750,000 to $1 million in 2026. Even the low end of that range implies a nearly 27x increase from current levels. A move that if it materializes would likely bear significant fruit for SATO.
How SATO Could Benefit
SATO’s correlations to Bitcoin prices are well-documented. For starters, the Invesco ETF’s largest holding is the Grayscale Bitcoin Trust (GBTC). Second, crypto-correlated equities make up the rest of the fund’s roster. The latter point factors into Hayes’s forecast because he sees favorable macroeconomic factors propelling bitcoin.
“I think it will be the biggest boom in financial markets we have ever seen in human history. Bitcoin will have a ridiculous price, Nasdaq will have a ridiculous price, S&P will have a ridiculous price. Pick your stock industry,” he told Bilyeu.
Another point of interest for SATO investors and those evaluating the ETF is the potential for bitcoin to benefit from tighter monetary policy around the world. Hayes offered up that thesis in the interview. A view that runs counter to the dismal price action notched in 2022 by cryptocurrencies amid an avalanche of interest rate hikes by central banks around the world.
“As we get to some kind of financial disturbance and people realize that real rates are negative, if governments are growing nominal at 10%, 5%, 6%, people at the market will start buying other stuff,” added the BitMEX founder. “Crypto is one of those things.”
For investors worried that Hayes’s bitcoin forecast is overly aggressive, his medium outlook is more digestible. He expects the digital currency will remain range-bound for the remainder of this year. But he added it could ascend to $70,000 next year – a more than 2.5x jump from current levels.
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