Bitcoin Price Targets $250K-$840K as Wall Street Allocations Grow

A new adoption model by River estimates that Bitcoin's price could reach between $250,000 and $840,000 within three to five years if more investors begin allocating even a small share of their portfolios to the asset.

Roughly 4% of the global population owns any Bitcoin, while institutional allocations are still tiny relative to the amount of wealth under management. Investment advisers currently allocate only about 0.008% of assets to Bitcoin overall.

The model assumes that 20% to 40% of global investment portfolios eventually allocate 2% to 4% to Bitcoin, which would imply roughly $1.3 trillion to $5.3 trillion in net inflows into Bitcoin. The number is significant because Bitcoin supply cannot expand in response to demand.

According to the model, every dollar entering Bitcoin creates roughly $3 in market value, based on historical price behavior. Using a conservative 3x multiplier, $1.3 trillion to $5.3 trillion of new capital would imply a Bitcoin market value of roughly $5.5 trillion to $17.5 trillion.