CEO of CryptoQuant Ki Young-ju said that a new growth cycle for Bitcoin would require more than $1 trillion in new capital and expanded institutional demand. In his view, capital efficiency has been declining with each market cycle: while $2.7 billion in 2011 provided a 55,000% price increase, the last cycle yielded only 689% of returns for $697 billion.

Ju noted that doubling the cost of Bitcoin used to be about $5 million in new capital, but now requires around $101 billion. The next large-scale bull cycle, he estimates, will depend not on retail investors, but on the influx of large corporate capital - Bitcoin should become entrenched in funds and companies' portfolios, rather than remain primarily an instrument through spot ETFs.

The analyst has pointed to a gold market with a capitalization of around $27 trillion, stressing that the process of integrating Bitcoin into the global financial system is only at an early stage. If, during the next bull cycle, Bitcoin attracts several trillion dollars of investment, a tenfold increase in asset value is entirely possible, Ju cautiously guessed.

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The material is prepared solely for informational purposes and does not constitute a financial advice or recommendation.