Bitcoin’s Price Just Passed $100,000. Here’s What Might Happen Next.

Bitcoin (BTC) passed the all-important $100,000 barrier on May 8 after the U.S. reached a trade deal with the U.K. The deal triggered a surge of investor optimism, and the market switched to a more risk-on mode.

The S&P 500 (^GSPC) has already erased its losses spurred by President Donald Trump’s tariff plans, and crypto investors are wondering whether Bitcoin might break new ground with another all-time high.

What’s next for Bitcoin?

The question of what’s next can be broken down into two parts: the immediate matter of how much digital currencies can grow under a more crypto-friendly administration, and the longer-term question of whether Bitcoin might achieve all its believers hope it might.

Bitcoin in the short term

It’s been more than a week since Bitcoin broke the $100,000 mark and, despite bullish hopes, it hasn’t gone on to set a new high. Even a trade agreement with China failed to spur crypto’s leading lady into action. In fact, Bitcoin’s price dipped slightly after the deal was reached.

Some view Bitcoin as a hedge against a falling dollar and wider global uncertainty. It has yet to prove itself in this regard. While it has outperformed the S&P 500 so far this year, it’s extremely volatile. At the time of writing, Bitcoin is up more than 10% year to date, while the S&P 500 is up just over 1%, and gold is up more than 20%.

Moreover, there’s a lot of correlation between Bitcoin’s performance and other high-risk assets, particularly tech stocks. That may change if cryptocurrency continues to transition from a niche alternative asset to the mainstream. Spot Bitcoin exchange-traded funds (ETFs), increased institutional adoption, and the U.S. Strategic Bitcoin Reserve all play a part in that journey.

Some insiders suggest Bitcoin might top $220,000 before the year is out. That looks optimistic given the border economic environment. Some economists warn we’ve yet to see the full impact of tariffs, and the U.S. has yet to close tariff negotiations with many countries. A lot of investors are in wait-and-see mode. If the economy slows more or falls into a recession, Bitcoin will not be immune.

Bitcoin in the long term

It would be exciting to see Bitcoin soar again this year. But for buy-and-hold investors, what matters more is how it might perform in the coming decade or more. It is still a relatively new asset, and there’s a lot we don’t know.

Here are some of the ways analysts, such as those at Ark Invest, think Bitcoin could reach $1 million or more by 2030:

• A currency for emerging markets: Bitcoin is already legal tender in El Salvador. The Central African Republic initially followed suit, but subsequently reversed its original decision. It is an important driver for adoption and can be useful in countries with unstable currencies or where many people are underbanked.
• International remittance: Bitcoin is starting to take market share in the international money transfer market. The blockchain can make it faster and cheaper