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Bitcoin may feel like it has already come a long way, but one leading investment executive says the journey is just getting started. Matt Hougan, Chief Investment Officer at Bitwise, believes the world’s largest cryptocurrency is still undervalued and has plenty of room to grow before it even reaches fair value.
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Speaking on the When Shift Happens podcast, Hougan argued that Bitcoin has yet to reach the same scale as gold, which is valued at more than $15 trillion globally. Until Bitcoin achieves that milestone, he believes investors are still in the early adoption phase.
“And I think once we get to as large as gold, then we can talk about, you know, is it 5x bigger than gold? Is it 3x bigger than gold? Is it 2x bigger than gold? But there’s still a 10x until we match gold,” Hougan said.
His comparison highlights Bitcoin’s potential to rise well beyond its current level. If Bitcoin were to rival gold’s market cap, the price would move into seven-figure territory per coin.
Hougan also explained why he sees Bitcoin as unique compared to traditional assets. He pointed to how digital products almost always outscale their physical versions.
“Are physical newspapers bigger than digital newspapers? Is physical advertising bigger than digital advertising? Are DVDs bigger than streaming? I’ve really struggled to come up with even one example,” he said.
The Bitwise CIO believes the same logic applies to Bitcoin. Until it equals gold, it is still early. Only once it surpasses gold will the question shift to how much larger Bitcoin can get.
A major factor in Hougan’s outlook is institutional adoption. As Bitcoin becomes integrated into global capital markets, he sees portfolio managers allocating massive amounts to the asset.
“Imagine what a $1.5 trillion coming into Bitcoin does to the price. Like, who is going to sell? How much will it go up? I think it’ll be really significant. People look at the Bitcoin ETFs last year. They did $37 billion. People put $37 billion in. The price went up substantially. This is more buying than selling,” Hougan said.
The launch of Bitcoin exchange-traded funds has already shown how fresh demand can influence price. Hougan expects even larger inflows ahead as institutions balance their portfolios with exposure to digital assets.
He sees gold as the closest benchmark for value storage. Bitcoin won’t be mature, in his view, until it matches gold’s market cap.
It would move into the seven-figure range per coin, roughly 10x higher than where it trades today.
Hougan predicts more than $1 trillion could flow from institutions into Bitcoin, dramatically lifting prices.
Because historically, digital products outgrow physical ones, and Bitcoin hasn’t yet caught up to gold.
Bitwise CIO Matt Hougan believes Bitcoin is still undervalued and early in its adoption cycle. He points to gold as the milestone Bitcoin must meet, estimating a 10x climb before maturity. With ETFs already drawing billions and institutions potentially pouring in trillions, Hougan argues that the cryptocurrency still has plenty of upside.