Changpeng “CZ” Zhao, co-founder of Binance, predicts Bitcoin could reach $500K to $1M in this market cycle, citing the influence of Bitcoin ETFs and institutional buying. Additionally, he highlights the growing trend of governments, like El Salvador and Bhutan, accumulating Bitcoin. Zhao also touches on the current pro-crypto US administration’s role in altering market dynamics and notes that retail investors should have taken their chance to invest by now.
Changpeng “CZ” Zhao, co-founder of Binance, has made some bold predictions about Bitcoin’s future, estimating that the cryptocurrency could reach between $500,000 and $1 million in the current market cycle. In an interview with Rug Radio on May 5, he emphasised the anticipated impact of Bitcoin spot exchange-traded funds (ETFs) on this potential price surge, suggesting that the increasing institutional involvement in Bitcoin is a sign of positive market dynamics. He stated, “Our bags are up — not the alt-coins as much, but at least Bitcoin is.”
Zhao further elaborated that ETFs are crucial because they are “bringing the traditional institution money into crypto.” He highlighted that most of the investment in the United States is from institutional players. According to him, Bitcoin’s price is on the rise primarily because most of the ETFs launched are Bitcoin-focused. This supports his optimistic outlook for the cryptocurrency’s funding status less reliant on alternative coins.
On the government front, Zhao noted that the trend of nations purchasing Bitcoin is also beneficial for future price rallies. He remarked, “It’s also very good validation.” Countries are capitalising on Bitcoin, and examples include El Salvador, the first nation to adopt Bitcoin as legal tender, which has continued to acquire Bitcoin over recent months. Over the week leading up to April 27, El Salvador added 7 BTC to its reserves, valued at approximately $650,000 at that time. Current reports suggest the country holds nearly 6,170 BTC worth about $580 million now.
El Salvador isn’t alone; Bhutan is also making strides in the crypto space. There were reports back in January outlining plans for the establishment of a strategic cryptocurrency reserve that would feature major digital currencies like Bitcoin and Ether (ETH).
Zhao also commented on the shift in the US political landscape regarding cryptocurrency adoption, stating that the country has made a complete turnaround since a more favourable pro-crypto president took office, referring to Donald Trump. He remarked, “They’re smart enough to recognise that buying Bitcoin is a great move, and now other countries will have to follow.”
Addressing the retail investors, Zhao indicated that they have had ample time to invest in Bitcoin, asserting, “if they’re late now, that was their choice.” It’s a tough market out there, and those who missed the bus may have to accept a learning experience as prices climb if Zhao’s predictions hold true.
