Bitcoin Price Could Reach $350,000 by 2026, Says Analyst

Bitcoin, widely regarded as a market bellwether, is anticipated to follow a power law model, which suggests that its price doubles roughly every 12.7% of its lifespan. This model indicates exponential growth rather than linear progression. Currently, Bitcoin is in a quiet phase, which is often seen as a precursor to significant bullish runs.

Analyst Matthew (@OneBasedMoney) compares Bitcoin to the fiat money supply, which is approximately $26 trillion and is expected to increase due to future monetary easing. As fiat currencies are devalued, scarce assets like Bitcoin, with a fixed supply cap of 21 million, become more attractive. This dynamic reinforces Bitcoin's role as a hedge against inflation.

According to Matthew's model, Bitcoin could reach between $250,000 and $350,000 by the end of 2025 or early 2026. This projection aligns with previous cycle peaks. Matthew believes that Bitcoin's value is now driven 95% by internal adoption trends, rather than macroeconomic events, highlighting a maturing market led by users, technology, and institutional interest.

While long-term growth may slow, a euphoric end-of-cycle rally remains probable. This rally could be fueled by rising interest in spot ETFs and institutional flows. However, there are lingering questions about Bitcoin's role as fiat currencies expand and markets evolve.

Despite these uncertainties, Bitcoin's fundamentals—including its fixed supply, growing adoption, and institutional interest—support a strong bullish outlook. Whether investing in or observing Bitcoin, understanding price models and market cycles is crucial for navigating the future of cryptocurrencies.