Fidelity Strategist Sees Bitcoin Potential to Surpass Gold, But Not in the Near Future

gFidelity Investments' Jurrien Timmer, the director of global macro, has weighed in on the ongoing debate about Bitcoin's potential to surpass gold in market value. While he acknowledges that Bitcoin could eventually rival gold, he doesn't foresee this happening anytime soon.

Timmer shared his analysis through a social media post, illustrating Bitcoin and gold’s projected growth trajectories. He noted that if gold continues its historical growth rate of 8% annually since 1970, and Bitcoin follows either a power law adoption curve or an S-curve similar to the internet’s growth, the two assets might converge in the next 10 to 20 years. Timmer suggested that while Bitcoin might outpace gold over time, gold will always maintain a more stable, quieter role.

His view stands in contrast to bolder predictions from others in the industry, like Michael Saylor, founder of Galaxy Digital, who has made far more aggressive forecasts for Bitcoin’s future.

Timmer’s comments come during a period of notable volatility in the cryptocurrency market. On March 28, Bitcoin dropped below $84,000, marking a 33% decline from its peak in December. Meanwhile, gold has continued to perform well, reaching new all-time highs and solidifying its status as a safe haven asset. The decline in Bitcoin’s value is attributed to concerns about inflation and global trade tensions that continue to affect risk assets.

READ MORE:

Is the U.S. Government Quietly Selling Bitcoin?

Despite Bitcoin’s price struggles, institutional confidence remains strong. On March 27, major players like Fidelity and BlackRock injected $89 million into Bitcoin ETFs, signaling their belief in the asset’s long-term potential.

While Timmer remains cautious, Michael Saylor’s perspective is much more aggressive. At the DC Blockchain Summit, Saylor predicted that Bitcoin’s market cap could reach a staggering $500 trillion as it absorbs value from traditional assets such as gold and real estate. He compared Bitcoin’s rise to historical shifts in monetary systems, arguing that the digital asset is poised to replace 20th-century assets with a decentralized, inflation-resistant alternative.

As more institutions invest in Bitcoin and adoption continues to grow, the question is no longer whether Bitcoin can rival gold, but when and under what circumstances it might reach that point. For now, though, Timmer believes that gold still holds a leading role, remaining steady and time-tested in contrast to Bitcoin’s more volatile path.

Alexander Stefanov