The founder and chief investment officer of investment-management firm Morgan Creek Capital Management says bitcoin could touch $250,000 within the next five years.
Mark Yusko told CBNC’s Trading Nation on Friday that the key to bitcoin is more than it being a store of value.
It’s “about network adoption and increased usage,” he said. “This is a network, and networks grow in an exponential way. This is the fastest network in history to $1 trillion, right on the heels of the FAANGs that took 15 to 20 years depending on which one you look at.”
FAANGs is a reference to the stocks of Facebook, Amazon, Apple, Netflix and Alphabet (formerly Google). The bitcoin market hit $1 trillion in value in early 2021, 12 years after its creation.
Yusko based his bitcoin target on equivalence with gold, which has a market capitalization of $4 trillion. If BTC reaches this level, that values each coin at $250,000.
Comparisons with gold are often used to illustrate bitcoin’s upside, though critics often cite the crypto’s scaling limitations – time to settle transactions, computing power required and so on — as reasons to be skeptical.
“What people miss is this is a technological evolution of computer power that isn’t going away,” Yusko said. “It is a powerful computing network that is going to become the base layer protocol for the internet of value.”
