Jan VanEck, CEO of the $118 billion global asset management firm VanEck, predicts Bitcoin could reach $150,000 to $180,000 in the current cycle, adhering to the historical trend influenced by Bitcoin halving events. He anticipates Bitcoin eventually reaching half the value of gold, projecting a price exceeding $400,000 in the next cycle.
In a recent interview, VanEck discussed the firm’s involvement in the digital asset space, highlighting their launch of a Sui token ETN in Europe and the positive inflows it has attracted. He emphasized VanEck’s comprehensive research team, covering both liquid tokens and venture investments, allowing them to track various blockchain projects and market trends.
Addressing institutional sentiment, VanEck noted a significant shift in the US following the recent change in administration. While Asian markets like Hong Kong and Singapore have shown openness to crypto, the US has seen a surge in interest from institutional investors following regulatory developments. He cautioned, however, that institutional adoption takes time and expects a clearer picture within the next three to six months. VanEck believes the current approach will be more measured compared to the initial hype surrounding crypto investments.
VanEck likened Bitcoin to a “transfer of value network,” emphasizing the importance of its usage for maintaining its value. He underscored the significance of the halving cycle and its impact on miners, suggesting they will need to adapt their business models by focusing on transaction fees or AI processing.
Discussing the evolving regulatory landscape, VanEck highlighted the importance of federal preemption in the US to provide clarity and supersede potentially restrictive state-level regulations. He contrasted this with the more open regulatory environments in Europe and Asia, citing the responsiveness of German regulators as a positive example. VanEck expressed hope that Europe, with its large retail market, could serve as a benchmark for crypto adoption.
While acknowledging the growing market capitalization of several meme coins, VanEck indicated they are not a focus for institutional investors. He characterized the crypto market as unique due to its dominance by individual investors, unlike traditional asset classes. He views meme coins as a form of entertainment within the space, contrasting them with more problematic practices like rug pulls.
VanEck observed a significant increase in sophistication among institutional investors regarding blockchain technology compared to just a few years ago. He noted that CEOs of major financial institutions no longer require basic explanations of blockchain, having developed their own strategies for approaching the crypto space.
Finally, when asked about Bitcoin’s transition to a store of value, VanEck expressed optimism while acknowledging concerns about its correlation with the NASDAQ. He viewed this correlation as a deterrent for professional investors, particularly during the recent tech market surge. He hopes to see Bitcoin’s correlation with traditional markets return to zero, solidifying its position as an independent store of value. He also briefly touched upon the potential impact of different political leadership on the crypto landscape in the US.
