Strive CEO Matt Cole suggested that Bitcoin could provide an average annual return of approximately 50 percent by 2030. Cole noted that Bitcoin’s limited supply could be supported by macroeconomic conditions.
According to Cole’s scenario, interventions by the US Federal Reserve (Fed) and the Treasury Department to suppress long-term interest rates could put downward pressure on the dollar. Cole notes that in such an environment, investors could accelerate their shift towards scarce assets, and Bitcoin could benefit significantly from this process.
The CEO of Strive stated that if the currency depreciates and long-term interest rates remain under control, investors may show greater interest in alternative assets to protect their wealth. According to Cole, gold stands out as a traditional store of value during such periods, while Bitcoin, due to its digital nature and limited supply, may also become a more popular choice among investors.
Cole also argued that Bitcoin could outperform gold if these conditions were met. However, the 50% annual average return expectation is a forward-looking prediction by the Strive CEO and is not considered a guaranteed return.
Bitcoin’s future performance will depend on numerous factors, including monetary policy, interest rates, the trajectory of the dollar, investor demand, and overall market conditions. Cole’s statements, in particular, offer a scenario regarding how scarce assets might be affected by potential macroeconomic changes.
*This is not investment advice.