Pantera Capital Management, a prominent hedge fund in the blockchain sector, has projected the Bitcoin (BTC) price to exceed $700,000 within the next four years, citing a combination of historical patterns and shifting regulatory sentiment.
This is according to CEO Dan Morehead, who believes Bitcoin could reach approximately $740,000 by April 2028, buoyed by a favorable political climate in the United States following the election of a pro-crypto president and a Congress more open to digital assets.
Bitcoin Still Has Relatively Small Adoption
The asset’s price trajectory, as outlined by Morehead in a recent letter to investors, is influenced by the cryptocurrency’s historical growth and its relatively small adoption within global financial markets. Currently, blockchain-related assets represent just 5% of total financial wealth, suggesting significant room for expansion.
“Even after 11 years, Bitcoin is still squeezing up like a watermelon seed,” Morehead stated, emphasizing how regulatory barriers that once hindered blockchain adoption are now beginning to recede.
Bitcoin is trading at approximately $96,097, according to CoinGecko data.
BTC daily chart. CoinGecko
The bullish sentiment in the market today is strong, as the number of daily active addresses are on the cusp of reaching the one million mark.
Related: Crypto Frenzy: Bitcoin Address Boom Signals Bullish Sentiment for $100K Milestone
Pantera Capital has benefited substantially from the coin’s rise. The firm’s Bitcoin Fund, established in 2013, has recorded a staggering return of over 131,000% since inception, excluding fees and expenses. The fund’s initial BTC investments, made at $74 per coin, have grown more than 1,000-fold in value.
Long-Term Growth Outlook for Bitcoin
Despite Bitcoin’s significant price gains in recent months, Morehead maintains that the asset is still in its early stages of adoption. He higlighted a common misconception in investors, in which they believe that doubling in price signals the end of growth potential.
Morehead reiterated that blockchain technology and BTC, in particular, have further to grow in terms of adoption and value:
I can imagine an investor thinking: ‘BTC has doubled this year. Well, I guess I missed it.’ That’s the wrong mindset
Morehead also pointed to a shift in regulatory attitudes as a key factor driving optimism for the coin’s future. He described how a historically challenging regulatory landscape is evolving into one that supports innovation and adoption in the blockchain industry.