BlackRock, a renowned American multinational investment management corporation, has once again highlighted the enduring belief surrounding Bitcoin’s Potential as a strategic asset. In a recent statement, the company echoed a school of thought that has been gaining traction in the financial world for years. The investment firm believes BTC is a good tool for hedging against the growing global disorder that could result from growing distrust of governments, banks, and fiat currencies.

Considering this prospect, renowned cryptocurrency analyst Michaël van de Poppe agrees with BlackRock’s outlook, predicting that the price of bitcoin will reach $600,000 in the current market cycle.

BlackRock’s Commitment to Bitcoin

There’s no denying that BlackRock’s decision to enter the Bitcoin market in 2023 with the Spot Bitcoin ETF was a turning point for the cryptocurrency. As the world’s largest asset manager, the move sent shockwaves throughout the investment community and confirmed Bitcoin’s growing role as a legitimate asset class.

BlackRock CEO Larry Fink, who was once proud Bitcoin skepticchanged its stance and began encouraging investors to add Bitcoin to their portfolios to hedge against inflation. According to himBitcoin “is an asset class that protects you.”

In a similar statement, Blackrock noted that Bitcoin could be “a hedge against growing global disorder and declining trust in governments, banks, and fiat currencies,” amid concerns about inflation in economies around the world since the start of the year.

The company’s outlook reflects the sentiment of many investors who believe that as the cracks in conventional financial systems become more evident, BTC will play a key role in preserving wealth as its value continues to rise in the future. An example of such investors is Michaël van de Poppe, who is an ardent Bitcoin enthusiast.

In response to a social media post mentioning BlackRock’s comments, van de Poppe noted that Bitcoin’s current valuation is still very low. The analyst is targeting a proper valuation of between $300,000 and $600,000. Bitcoin is currently trading at $57,983, representing a price augment of 417% and 935%, respectively.

That explains it all.

Current valuation #Bitcoin is still very low.

I wouldn’t be surprised if this series made $300-600k. https://t.co/5GUaBPMZ6A

— Michaël van de Poppe (@CryptoMichNL) September 12, 2024

What’s next for BTC?

Although BTC is up 3.89% in seven days, still hovers below $58,000 in what seems like an eternity. That’s because the Spot Bitcoin ETF, which recently I went for two days of inflows after weeks of successive low tides, recently another day of low tide was recorded. This may suggest a slowdown in the growing optimism among institutional investors.

From a technical perspective, Bitcoin is facing critical resistance at several key price levels. The first significant obstacle for the cryptocurrency would be a breakout through the $60,000 level and then $62,000 with sturdy upside momentum.

Featured image created with Dall.E, chart from Tradingview.com