Bitcoin Worth $740,000 in 2028? Pantera Forecast Sees Omens

The US asset manager Pantera has been investing in Bitcoin since 2013, which has turned out to be a great decision. CEO Dan Morehead tells the story and sets $740,000 as the Bitcoin price target for 2028.

Bitcoin forecasts from the crypto industry often compete with record prices. Now that the magic mark of $100,000 per Bitcoin (BTC) has almost been reached, market participants are bringing out new guns. Bitwise, for example, sees $500,000 per BTC as realistic in the medium term. Asset manager Pantera goes one step further and calls for $740,000 for Bitcoin as a price target in 2028.

Pantera CEO Dan Morehead has written a personally colored investor letter on this forecast, which has interesting points:

– In mid-2013, Morehead pushed internally at Pantera to urgently get into Bitcoin. At the time, BTC was trading at $65 and Morehead bought 30,000 Bitcoin over a weekend with private capital.

– Pantera then launched its Bitcoin fund on July 7, 2013, when BTC was at $74. With this date and starting price, the Pantera Bitcoin fund has now achieved a gain of more than 1,000 times, or an average increase of 88 percent every twelve months over the year.

– Morehead writes that his arguments in favor of Bitcoin from 2013 have aged well. He compared BTC to gold eleven years ago and made the point: buying Bitcoin in 2013 was like stocking up on gold 1,000 years before Christ. According to Morehead, many people were not even remotely aware of its potential as a future asset class.

– In 2013, the Pantera CEO saw at most 1 percent of global wealth interested in Bitcoin and today he estimates that 95 percent of global wealth has not yet integrated BTC into their strategies.

– But the tide is turning: Since this year, institutional investors have been introduced to BTC through Bitcoin ETFs and asset managers such as BlackRock and Fidelity – a new era is dawning, says Morehead.

– He expects that the future US President Donald Trump and the Republican majorities in the Senate and Congress will see the US commit to Bitcoin for four years until 2028.

• “The regulatory headwinds are turning into tailwinds,” says Morehead, describing the turnaround in US crypto policy. This allows him to invest the gains in the Bitcoin price curve experienced so far into the future.

– At $740,000 per Bitcoin, a market capitalization of $15 trillion would be reached in April 2028 – today it is just under $2 trillion. Morehead estimates the capital invested worldwide at $500 trillion, which leaves a lot of room for maneuver.

– In retrospect, it sounds like an anecdote: In 2015, Pantera paid for Team Bitcoin’s business trips via Expedia using BTC, 1.5 per night. The 88 Bitcoin spent back then could buy two hotels today.

– When Moreheard and Pantera wanted to buy large amounts of Bitcoin in 2013 to 2015, Coinbase was still a start-up and set daily limits of 50 US dollars, or 300 US dollars on request. Today, the daily volume of Bitcoin trading is usually more than 80 billion US dollars.

Conclusion: Here to stay – Bitcoin reaches the financial mainstream

Morehead is fair enough to also mention the dry spells between 2014 and 2016, when Bitcoin performed poorly and he was only able to raise $1 million for the Pantera BTC fund in 170 investor meetings. But that is behind us, says co-founder Morehead. From his perspective, Bitcoin is in a class of its own; nothing could be greater than “financial inclusion for everyone, anywhere in the world, via smartphone.”

His advice to those undecided: Anyone who thinks that the value of Bitcoin has doubled over the last year and now it is too late – that is simply “wrong thinking” for Morehead. After all, his early Bitcoin predictions from 2013 have been more than confirmed. It remains to be seen whether the Pantera boss is also right with a view to 2028.

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(Featured image by Kanchanara via Unsplash)

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