US Strategic Bitcoin Reserve: Key Catalyst For Potential Surge Toward $150,000 Next Year

As Bitcoin (BTC) maintains a consolidated trading range between $86,000 and $90,000 after experiencing a 30% correction from its all-time high in October, market expectations for the cryptocurrency’s future remain optimistic. 

Market analyst Dominic Basulto from The Motley Fool believes that despite the persistent challenges seen in the fourth quarter of the year, Bitcoin could soar to $150,000 by 2026, fueled by the newly established US Strategic Bitcoin Reserve.

Historical context supports Basulto’s prediction; Bitcoin’s performance over the years has shown significant recovery potential, with 2015 marking its worst bull market year at just a 36% gain. Significantly, in seven of its years, Bitcoin has achieved triple-digit percentage returns.

The analyst suggests that 2026 may resemble 2019, a year when Bitcoin appreciated by 95% following the dismal performance in 2018, when it plummeted by 74%.

In 2019, several catalysts, such as heightened global economic uncertainty and a surge in institutional interest, propelled Bitcoin upwards—situations that appear similar to current conditions. 

Institutional investors are increasingly adding BTC to their portfolios, driven by spot Bitcoin exchange-traded funds (ETFs). Meanwhile, concerns over global tariffs and macroeconomic instability in the US continue to resonate among investors, setting the stage for potential bullish movement.

However, Basulto emphasizes that Bitcoin can only reach the $150,000 milestone if it is perceived as a long-term store of value. If investors view it merely as another high-risk asset, they may choose to favor physical gold over digital gold, which has seen a record-breaking year. 

The crux of his argument centers on one pivotal factor that could significantly impact Bitcoin’s price: a notable increase in purchases by the US Strategic Bitcoin Reserve. 

Basulto claims that if the US government were to start buying substantial quantities of Bitcoin, it could trigger a global arms race among other countries keen to create their own strategic BTC reserves. 

According to the analyst, such purchases from national reserves could dramatically inflate Bitcoin’s price, likely surpassing the impact of corporate treasury companies that have already amassed close to 5% of the world’s circulating BTC supply.

Although reaching the $150,000 mark may seem ambitious given Bitcoin’s recent performance, more aggressive predictions exist for 2026. For instance, JPMorgan Chase has forecasted a potential price of $170,000, while Wall Street strategist Tom Lee from Fundstrat has suggested that BTC might even hit $250,000 next year.

While a variety of factors must align for BTC to reclaim its status as digital gold, the possibility of elevated prices hinges on strategic actions by both the US government and institutional investors. 

Basulto concluded that if the leading cryptocurrency can consolidate its position and the Strategic Bitcoin Reserve gains traction, the predicted price of $150,000 could be achieved by next year.

At the time of writing, BTC’s price retraced towards $87,330 following an early Monday move above $90,500. 

Featured image from DALL-E, chart from TradingView.com