Fidelity analyst Jurrien Timmer, who serves as the Global Macro Director for Fidelity Investments, has recently unveiled an updated forecast for the future of Bitcoin (BTC), indicating a potential surge beyond $96,210 by 2025. Timmer shared this projection with his substantial social media following on the X platform.
Timmer’s analysis is founded on a comprehensive examination of various crucial factors, encompassing real interest rates, inflation, global adoption trends, and the evolution of the internet adoption curve. According to Timmer, the intricate interplay of these elements could exert a substantial influence on the valuation of BTC in the years to come.
As of the latest available data, Bitcoin is currently trading at $34,991. Nevertheless, Timmer’s forecast suggests a considerably different future. He proposes that if the Treasury Inflation-Protected Securities (TIPS) real rate remains at its existing level of +2.5%, Bitcoin’s value could reach $41,553 by the year 2025. However, a more compelling scenario emerges if real rates dip to the level observed in 2021, which was -2%. Under such circumstances, Timmer envisions the possibility of Bitcoin experiencing a substantial 175% surge, ultimately reaching a value of $96,210.
Timmer’s prediction underscores the potential impact of shifting economic conditions on the trajectory of Bitcoin’s price. According to his model, the intersection of the internet adoption curve’s slope and the trajectory of real interest rates establishes a fair value range for BTC. Changes in these interest rates have the potential to significantly influence the adoption curve of the leading cryptocurrency.
