AI Grok, created by Elon Musk, made a bold prediction about Bitcoin's price, stating it could reach $25 million by 2046. This statement has sparked lively discussions in the crypto community.
Historical Bitcoin Data
Grok began by analyzing Bitcoin's historical growth, specifically its compound annual growth rate (CAGR), which has averaged around 30%, though it has slowed over the years. Based on this data, the estimated price is around $13 million.
Valuation Models
Additionally, Grok applied the Stock-to-Flow model, which values Bitcoin based on its programmed scarcity after each halving. This model aims to increase the estimated valuation to over $50 million.
Impact of Institutional Adoption
Grok also considered adoption metrics, including Michael Saylor's thesis of 29% growth towards Bitcoin becoming a global reserve, which brought the price estimate to around $21 million. Taking all factors into account, a target of $25 million appears to be realistic.
While this prediction may be seen as speculation, it highlights a growing understanding of the cryptocurrency market. Long-term Bitcoin forecasting is becoming more grounded than ever.
