Morgan Stanley Sees Room for Bitcoin Growth Amid $130 Trillion Market

Morgan Stanley's research suggests that Bitcoin has only scratched the surface of its potential. According to the bank, Bitcoin's $2.2 trillion market cap represents about 2% of what it defines as a $130 trillion addressable market.

This addressable market combines the global M2 money supply and gold, the two asset classes that Bitcoin competes with as a store of value. The bank's research lays out various scenarios tied to Bitcoin user growth over the next decade.

In the most conservative case, where adoption remains stagnant, the projected annualized return is around 3%. However, if user growth tracks global population growth or increases at 5% annually, the projected return hits 9.8% and 10%, respectively.

Morgan Stanley notes that Bitcoin's fixed supply is a key factor driving this math. Approximately 95% of Bitcoin's total 21 million coin cap will be issued by early 2026, while supply growth is expected to slow due to the halving cycle.