Binance Co-Founder Predicts Bitcoin to Reach $1 Million

Binance co-founder Changpeng “CZ” Zhao has expressed his bullish outlook on Bitcoin, predicting that the cryptocurrency could reach between $500,000 and $1 million during the current market cycle. This projection was made during an interview with Rug Radio, where Zhao highlighted several factors contributing to his optimistic view.

One of the key drivers of Zhao's prediction is the increasing institutionalization of Bitcoin. He noted that the introduction of Bitcoin spot exchange-traded funds (ETFs) is bringing traditional institutional money into the cryptocurrency market. According to Zhao, most of the money in the US is institutional, and the majority of ETFs are Bitcoin-based, which is driving up the price of Bitcoin.

Zhao also emphasized the role of governments in the rising price of Bitcoin. He pointed out that governments are increasingly buying Bitcoin, which not only supports the price action but also serves as a validation of the cryptocurrency's value. This trend is evident in countries like El Salvador, which has been actively acquiring Bitcoin despite external pressures. Additionally, the Kingdom of Bhutan has plans to set up a strategic cryptocurrency reserve, further indicating the growing acceptance of Bitcoin by governments.

Zhao's remarks also touched on the shift in US policy towards cryptocurrencies. He noted that the US has made a significant pivot under a pro-crypto administration, recognizing the strategic importance of buying Bitcoin. This shift is expected to influence other countries to follow suit, further boosting the demand for Bitcoin.

While Zhao's prediction is based on his personal analysis and the current market trends, it is important to note that the cryptocurrency market is highly volatile and subject to various factors. Investors should conduct their own research and consider their risk tolerance before making any investment decisions. Zhao's optimism, however, reflects a broader sentiment within the industry that Bitcoin is poised for further appreciation, driven by institutional adoption and government accumulation.