BlackRocks NEW Report Could SEND Bitcoin To $5.3M FASTER Than You Think!!! | EP 1533

**Luke Mikic** (0:02)
Bitcoin might be dumping, but it didn't stop Blackrock from sending its latest Bitcoin warning. Yesterday, they came out with their new 2% Bitcoin allocation, and this kind of got Opti and I thinking today, when the world's largest asset manager speaks, people not only listen, but they actually start to deploy their money. So today, we're going to be looking at what might happen if 2% of the world's $900 trillion was actually able to make its way into Bitcoin. Hint, that number and that price tag per Bitcoin, it's kind of going to be ridiculous.
Opti, do you want to jump in?

**Opti** (0:46)
Yeah, Luke, before we get too bullish here and drop all the numbers, before we get ahead of ourselves, let's watch the clip that Blackrock dropped accompanying this 1% to 2% portfolio allocation. And it is a little bit of a cliffhanger, but it does do exactly what Luke said. It is a stamp of legitimization. We have gone from just a purely speculative asset to you need this in your portfolio. It's no longer a, if you should, it's more a how big and how much you should add to your portfolio. So here's the quick clip, and then we'll get into those numbers for you.

**SPEAKER_3** (1:26)
For decades, investors have relied on traditional assets, stocks for growth, bonds for stability. But just how much Bitcoin exposure belongs in a portfolio, the Blackrock Investment Institute has found that a modest allocation could potentially have an impact on portfolio returns without dominating day-to-day risk.

**Opti** (1:48)
So, Luke, first off, off the rib, taking the band-aid off. Again, it's no longer an if you should add it to your portfolio. It's a how much you should add to your portfolio.
And that's where we get some bullish Luke math here. So, look, let's go to... Actually, Luke, you said it was your base case here. And I'm like, no, that's the bull case here. So what are these numbers we're talking about, Luke?

**Luke Mikic** (2:15)
So let's break it down again. The biggest mistake that most people make when they start running math surrounding what price Bitcoin might be in the future, if it captures X, Y, Z dollars and trillions, is they forget about the multiplier effect. Today, this is somewhere around 6X, and this has actually been rising for the past five years. So this means that for every $1 that wants to flow into Bitcoin, this pushes the market cap up by 6X. So what's interesting, we got $900 trillion of wealth in the world.
Today, Bitcoin is around a $1 trillion market cap and sinking like a rock at the time we're recording, but it's got a $1 trillion market cap.
Now, if 2% of the world's money wants to flow into Bitcoin, you can see how much capital will be pulled from each market. This would be about $1 trillion from the sovereign wealth funds, $3.5 trillion from the asset managers. This would represent somewhere around, what's this?
$16 trillion from the real estate market. All you guys need to know is if you add that all together, it would represent $18 trillion of demand coming for Bitcoin. And this is where most people go wrong, because we have this 6X multiplier effect. So when you account for the fact that not all Bitcoin is available for sale, then Bitcoin works out to be worth somewhere around $108 trillion of market cap. And this gets you somewhere around $5.2 or $5.3 million per Bitcoin. And this is just if 2% of the $900 trillion wants to flow into Bitcoin. I think a little bit later on, we're going to have a look at what might happen if 20% of the capital in the world wants to flow into Bitcoin. And we're also going to challenge that assumption. So many people assume that global wealth is just going to continue expanding by 1% to 2% per year. Everybody thinks, okay, because that happened in the 1800s and the 1900s, that's just how the world works and that's what's going to happen into the future. But I think a lot of people are not considering what might happen to global wealth if we are living through the biggest technological revolution that we are all aware of. That's getting a little bit ahead of our skis. Opti, what are your thoughts on the $5 million price tag?

**Opti** (4:43)
Well, you know, as I always say, I might be one of the most bullish Bitcoiners. I am a perpetual bulltard, and usually I am no match to Luke. Every time we talk, we do a stream. Everyone knows I'm bullish. I might be naively bullish half the time. And then I talk to Luke and I'm like, yo, I'm not bullish enough. And we argue every morning. I'll give you, you know, like where I see right now. And you're like, you're just not bullish enough. Opti, you are not bullish enough. I'm like, look, I am bullish. I'm as bullish if not more than most people. And then there's Luke and he's just like head and shoulders above everyone else. And he's just like the literal bull tart out there.