Jurrien Timmer, Fidelity Investments’ Global Macro Director, has recently shared his revised forecast for bitcoin (BTC), predicting a potential surge beyond $96,210 by 2025. The forecast was shared today with his 173,000 followers on social media platform X.
Timmer’s analysis is based on several key factors, including real interest rates, inflation, global adoption patterns, and the trajectory of the internet adoption curve. This complex interplay of factors, according to Timmer, could have a significant impact on BTC’s future valuation.
Currently, bitcoin is trading at $34,991. However, if the real Treasury Inflation-Protected Securities (TIPS) rate remains at its current level of +2.5%, Timmer suggests that bitcoin could reach a value of $41,553 by 2025. A more dramatic scenario unfolds if real rates fall to the 2021 level of -2%. Under these conditions, Timmer predicts that bitcoin could potentially see a substantial 175% increase to $96,210.
This prediction reflects the potential impact of changing economic conditions on the price of BTC. According to Timmer’s model, the slope of the Internet adoption curve and the path of real interest rates form a fair value band for BTC. The adoption curve for the leading cryptocurrency could be significantly affected by these changes in interest rates.
