[Bitwise Analyst: Bitcoin Could Climb to $1.3 Million by 2035] According to a report by Coindesk, a Bitwise analyst predicts that Bitcoin could become the best-performing institutional asset over the next decade, with its price potentially climbing to $1.3 million by 2035. Bitwise's new price forecast implies a compound annual growth rate of 28.3%, with returns surpassing most traditional assets. However, the company warns that even if volatility trends lower than in past cycles, volatility will remain a defining characteristic of the market. Led by Matt Hougan, the analysts wrote that three forces will drive adoption and price increases. The first catalyst is Bitcoin's continued rise as an institutional-grade asset. The second catalyst is the growing demand for exposure to hard assets in an inflationary environment. The third catalyst is the fixed nature of its new supply. Bitwise also stated that the "historical four-year cycle" theory for Bitcoin is no longer relevant. Nevertheless, the firm cautioned investors to expect significant pullbacks. The biggest risks include regulatory changes, legislative shifts in major markets, and challenges posed by the relatively new nature of the asset with limited historical data. Additionally, concerns have been raised about quantum computing and other technological threats, but Bitwise considers these to be secondary issues.