Just How Outrageous Is a $500,000 Price Target for Bitcoin?
Michael Saylor, a high-profile Bitcoin (CRYPTO: BTC) bull, is at it again: He just put out a $500,000 price target for Bitcoin. Speaking recently at MarketWatch's Best New Ideas in Money Festival, Saylor suggested that Bitcoin could hit $65,000 within four years. From there, it's to the moon. He thinks the digital currency could be valued at $500,000 within the next decade.
Of course, investors need to take Saylor's prediction with a pinch of salt as it's likely biased, considering how much of his own wealth is tied up in Bitcoin and how much his company MicroStrategy (NASDAQ: MSTR) has invested in the token. But it's worth asking anyway: Is a $500,000 price target really all that outrageous for Bitcoin?
To put the $500,000 price target into context, it's important to know that the maximum supply of Bitcoin ever will be 21 million coins. Satoshi Nakamoto, the pseudonym for the creator of Bitcoin, decided that there can never be more than 21 million bitcoin in existence. So it's a fairly easy to calculate how different Bitcoin price targets can lead to different implied market capitalizations.
Source Fool.com
