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Morgan Creek Capital founder and CEO Mark Yusko on Wednesday said Bitcoin‘s(CRYPTO: BTC) long-term appreciation is effectively built into the network as adoption expands and new supply keeps falling.
Yusko argues that BTC remains undervalued despite its evolution from a speculative trade toward a global store of value.
Why Yusko Sees BTC Having a “Built-In Escalator“
Speaking in a Bitcoin Magazine interview, Yusko made the case Bitcoin’s four-year cycle is rooted in its programmed supply schedule rather than speculation alone.
“If that happened and nothing changed, half the miners would go out of business,” Yusko said. “So what happens is naturally the price has a built-in escalator.”
He pointed to a network-value model from Timothy Peterson, which currently estimates Bitcoin’s fair value at roughly $105,000.
“It’s about $105,000, but it’s $75,000. Great. So it’s on sale,” Yusko said.
He described Bitcoin’s market cycle as moving through several phases.
- Long-term investors accumulate below perceived fair value,
- Traders arrive as momentum builds,
- Miners hedge once prices exceed production costs
- And leveraged speculation eventually pushes prices above fundamentals.
That final stage, Yusko argued, creates the conditions for sharp corrections.
Yusko Sees Bitcoin Adoption Growing
Yusko sees Bitcoin as a store of value and “better form of money” because its scarcity, portability and divisibility offer advantages over gold.
He argues its long-term appreciation partly reflects currency debasement and says its low historical correlation with stocks and bonds can make it a portfolio diversifier.
Yusko believes the next stage of adoption as moving from the “fringe” through early adopters and now toward the early majority. They are the investors treating Bitcoin as a long-term wealth-preservation asset alongside gold.
While institutional derivatives could increasingly influence prices, Yusko <a href="https://xpertsstudio.com/bloombergs-etf-analyst-says-bitcoin-funds-will-triple-gold-hours-after-admitting-they-burned-cash/" title="Bloomberg's ETF Analyst Says Bitcoin Funds Will Triple Gold Hours After Admitting They Burned Cash”>says Bitcoin ultimately does not depend on legislation such as the Clarity Act because it can be owned and transferred without permission.
Yusko highlighted Oct. 5 as a date to watch, noting it marks 364 days since the previous cycle peak.
He said the previous three Bitcoin cycles reached a similar transition point precisely 364 days after their respective peaks.
“By Oct.5, it’s likely that we head back toward the accumulation phase of the cycle,” Yusko said.
He also said higher interest rates could curb excessive leverage and make Bitcoin’s boom-and-bust cycles less extreme.
Yusko expects percentage gains to shrink as Bitcoin’s market cap grows. However, expanding network adoption will continue driving long-term value appreciation.
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