Michael Saylor, founder and chairman of MicroStrategy, stated on CNBC that Bitcoin is likely to outperform the S&P 500 index in the long run. According to Saylor, his company expects an average annual return of 30% from its Bitcoin holdings.
Long-term expectations and price target
Saylor made headlines by projecting that Bitcoin could reach a price of $13 million per coin by the year 2045. In his view, Bitcoin could deliver an average annual return of around 29% over the next 19 years. This projection stands in stark contrast to the S&P 500’s historical annualized returns of roughly 10% over the long term.
The S&P 500 is widely seen as the leading benchmark for the performance of the 500 largest publicly traded companies in the United States. In contrast, Bitcoin draws attention with its decentralized nature, capped supply, and innovative blockchain technology.
Glossary: MicroStrategy is a US-based business intelligence and cloud services company. In recent years, it has become a frequent subject in headlines for investing a significant proportion of its assets into Bitcoin.
| Asset | Change in 2024 (%) | Long-term annual return (%) | 2045 target price |
|---|---|---|---|
| Bitcoin | -12 | ~29-30 | $13 million |
| S&P 500 | +8 | ~10 | – |
Michael Saylor explained, “We believe Bitcoin will outperform the S&P 500 by generating a 30% annual return, and this underpins our long-term price target.”
Market conditions and key levels
Saylor expressed his view that a new “spring period” for Bitcoin has begun in the market. He described $60,000 as a key support level for Bitcoin and suggested the current price range had significant upside potential. Since the start of 2024, the S&P 500 has risen by 8%, while Bitcoin has declined by 12%. Despite this, Saylor remains confident that Bitcoin can close the gap in the medium and long term.
He also highlighted that growing institutional interest and greater participation from large investors are strengthening trust in Bitcoin.
Regulation and institutional investors
Saylor remains optimistic about the ongoing development of the regulatory environment in the US. He specifically pointed to the importance of the recently approved CLARITY Act by the Senate Banking Committee, which received bipartisan support. The proposed law aims to establish a regulatory framework for digital assets.
Glossary: The CLARITY Act is a bill proposed in the US with the goal of providing legal clarity around cryptocurrencies. This regulation is expected to reduce uncertainty in the industry and attract more institutional investors.
Saylor further suggested that the US Securities and Exchange Commission (SEC) could introduce innovation exemptions for tokenized securities, which would strengthen blockchain-based financial transactions.
Institutional strategy and long-term outlook
Key factors supporting Saylor’s bullish stance include Bitcoin’s fixed supply and shifts in government treasury policies. MicroStrategy continues to lead by example, expanding its Bitcoin portfolio as a forerunner for institutional investors and corporates alike.
Saylor has previously made similar statements, at times arguing that Bitcoin could outperform the S&P 500 by two or three times over a four to eight year period.
