Bitcoin’s market cap is $1.9 trillion, making it the largest cryptocurrency. Investors see it as digital gold, but it underperformed gold last year. Cathie Wood’s Ark Investment Management believes Bitcoin could hit $1.2 million by 2030 due to factors like institutional investment, emerging market currency, and digital gold potential.

Bitcoin outperformed major assets with a 22,100% return in the past decade. However, it lacks utility in everyday transactions and payment networks compared to stablecoins like XRP. Wood revised her 2030 price target due to stablecoin popularity, which processed $15.6 trillion in payment volume in 2024, surpassing Visa and Mastercard.

Bitcoin’s value comes from its store of value and unique qualities like decentralization, capped supply, and blockchain transparency. Ark Invest predicts Bitcoin could reach $1.2 million per coin by 2030, driven by factors like institutional investment, emerging market currency use, and capturing digital gold value.

Despite potential, Bitcoin underperformed gold in 2025. If it loses its digital gold perception, institutional investment could suffer. A $1.2 million price target would give Bitcoin a market cap of $25.2 trillion, making it five times more valuable than Nvidia, highlighting the challenges of achieving Ark’s target.

Investors should carefully consider Bitcoin’s future potential and performance compared to other assets. The Motley Fool Stock Advisor identified 10 stocks with high potential returns, excluding Bitcoin. The team’s average return is 955%, outperforming the S&P 500, providing a compelling alternative for investors seeking growth opportunities.

Read more at Yahoo Finance: 1 Spectacular Cryptocurrency That Could Soar by 1,159%, According to Cathie Wood