The price of Single XRP may benefit tremendously if Michael Saylor’s prediction that Bitcoin could be 10x bigger than gold ever plays out.
Notably, gold has stolen the spotlight this month with an impressive run, while Bitcoin has lagged. Specifically, the precious metal recently surged past $3,800 an ounce to hit a new all-time high.
Even after slipping slightly to $3,780 at press time, gold still holds a 9.62% gain for the month. On the other hand, Bitcoin has only managed to climb about 4% during the same period.
Saylor Predicts Bitcoin to be 10x Bigger than Gold
Amid these market moves, Michael Saylor, Chairman of Strategy, sat down with CNBC to discuss Bitcoin’s long-term potential. The CNBC host noted that gold has been breaking records this year, while Bitcoin hasn’t kept pace, and asked how investors should compare the two.
In response, Saylor highlighted JP Morgan’s old saying that gold is money and everything else is credit, and then updated it for the current age by suggesting that now, Bitcoin is money and everything else is credit.
Specifically, he argued that gold’s rise shows how much mainstream investors want a reliable store of value that doesn’t rely on governments or corporations. Gold fits this need, but Saylor said Bitcoin does it better.
According to him, Bitcoin has qualities that gold cannot match. For instance, you can’t teleport gold across the world in seconds or program it to run on computers, but Bitcoin can do both.
Saylor believes this makes Bitcoin the technological version of gold, which is why he calls it digital gold. As a result, Saylor predicts Bitcoin will eventually become 10x bigger than gold.
How Could XRP Price Benefit?
Right now, gold’s market cap stands at $25.591 trillion, keeping it firmly in first place among global assets. For Bitcoin to grow ten times bigger, its market value would need to reach $255.91 trillion.
With around 20 million coins in circulation, this would put Bitcoin’s price at about $12,795,500 per BTC. Such a jump would completely change the crypto industry and ripple out into the broader financial scene.
If Bitcoin ever reached this valuation, the gains wouldn’t stop with BTC. Notably, altcoins would likely ride the wave due to their close ties to Bitcoin’s price action.
In particular, XRP price could see massive upside. Interestingly, data from Macroaxis shows Bitcoin and XRP have a close price correlation of about 85% over the past three months, which means XRP would almost certainly benefit from a BTC rise to such levels.
If Bitcoin hit a $255.91 trillion market cap while holding its current market dominance of 58.5%, the entire crypto market would balloon to $437.46 trillion. If XRP maintained its current dominance of 4.47%, its market cap would rise to $19.55 trillion. With a total supply of 99 billion tokens, this would put XRP price at roughly $197.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
