According to Bitwise's forecast, by the end of 2026, countries and institutions will collectively hold approximately 4.269 million Bitcoin, potentially valued at around $426.9 billion. This suggests a significant shift in the role of Bitcoin as a strategic asset.
The Evolving Role of Bitcoin in the Economy
Bitwise's analysis indicates that Bitcoin's function is rapidly shifting from a decentralized investment asset to a strategic reserve for major states. Bitcoin is now viewed as a tool for monetary sovereignty and economic hedging.
Growing Institutional Interest in Bitcoin
Historically, Bitcoin was mainly accessible to individual investors. However, increasing geopolitical tensions, inflation concerns, and de-dollarization trends are pushing governments and large institutions towards digital assets. Countries such as El Salvador are already making Bitcoin legal tender, and companies like MicroStrategy and BlackRock are increasing their BTC exposure.
Investors' Choice: Before or After?
Quoting Binance founder Changpeng Zhao, "you can buy before them or after". This implies that early investors could gain the most from Bitcoin's potential upside. If institutions begin to invest heavily in Bitcoin, it may create scarcity in supply and drive prices higher, given that only 21 million Bitcoins will ever be mined.
Bitwise's forecast highlights the increasing interest in Bitcoin from both state and major private players. This could fundamentally change the cryptocurrency market and create new conditions for investors.
