Bitcoin on Track to Become the 10th Largest Asset in the World & Beat Warren Buffett’s Berkshire Hathaway
Already, the digital asset is worth more than Visa, JPMorgan Chase, Mastercard, and PayPal. By the time the cycle tops, Bitcoin would find its place among the trillion-dollar group of Alphabet, Amazon, Microsoft, and Apple.
On Christmas, Bitcoin made a new all-time high at $25,000.
After hitting $25k on 25th, Bitcoin is currently pushing higher and higher. Rising to $25,680 with $4.79 billion in real volume.
These latest gains, more than 130% in 4Q20, have pushed the market cap of the digital asset to an all-time high as well.
At about $460 billion, Bitcoin is now worth more than popular payment processor Visa which has a market cap of $459.9 billion, as per Asset Dash.
Bitcoin had already ripped past JPMorgan Chase (currently at 15th place with a market cap of $379 billion), Mastercard ($332 billion market cap puts it at 17th spot), and PayPal (23rd place with $279 billion market cap).
To climb into the top 10 places, Bitcoin price would need to be worth around $28,600 that will push the market capitalization of the world’s largest cryptocurrency to about $532 billion and replace Berkshire Hathaway.
Warren Buffet, the CEO of the multinational conglomerate is a Bitcoin skeptic who says the cryptocurrency has “no value.”
It is expected that by the time this cycle reaches its top, Bitcoin would be among the top four assets by market cap that requires a trillion-dollar market cap.
Alphabet, Amazon, Microsoft, and Apple, are currently the top four assets with Apple in first place with a $2.24 trillion market cap.
This has been an explosive year for Bitcoin. Since falling to $3,800 in March, the digital asset has rallied more than 550%.
On Thanksgiving, BTC breached the previous ATH of $20,000 and went on a price discovery that has the crypto asset making a new ATH every other day.
Compared to the traditional markets’ performance, where gold is up 22.5%, S&P 500 rose 14.62% and WTI is down by 22.57% in 2020, Bitcoin’s YTD gains stand at 245%. But this is just the beginning of a bull cycle for BTC, the digital assets are expected to have an incredible 2021 with the moon target ranging from $100k to $400k.
These gains were driven by the heightened interest from institutional investors which was the result of the QE explosion. 2020 matra has been “Don’t Fight the Fed” which the markets expect to continue into 2021.
Since March, about $5.6 trillion of stimulus has been pumped into the markets by major central banks and if anything is certain for 2021 it is another generous money printing. This in turn means the price of assets, be it the stock market, gold, or Bitcoin, everything will continue to go up.