How Buying Bitcoin Today Could 10x Your Net Worth

Investing in ultra-high-upside cryptocurrencies could be one way to maximize the value of your overall investment portfolio. Several top cryptocurrencies are now up more than 1,000% since launch, making them a potential way to 10x your net worth.

The best of these, of course, is Bitcoin (CRYPTO: BTC). Even with its recent pullback, it's still up 146,000,000% since launch. Even if its eye-popping rate of growth eventually cools, it could still help you to generate life-changing wealth.

Bitcoin's exponential rate of growth

Bitcoin has been growing at an exponential rate over the past 15 years. In seven of the past 13 years, Bitcoin has more than doubled in value. That includes one monster year (2013) when Bitcoin delivered returns of 5,428% to investors.

The real magic happens when this doubling in value is allowed to compound over time. For example, Bitcoin soared by 157% in 2023 before skyrocketing in value by 125% in 2024. That's a doubling on top of a doubling. At the start of 2025, the common assumption was that Bitcoin would once again double in value, fueled by all the pro-Bitcoin and pro-crypto rhetoric coming out of the new Trump administration.

Due to this exponential growth, Bitcoin has exploded in price, from $0.10 to $100,000, in a remarkably short period of time. It took Bitcoin just a few months to increase in price from $0.10 to $1, and approximately two years to increase from $1 to $10.

Image source: Getty Images.

In 2013, Bitcoin absolutely exploded in price, moving from $10 to $100 and then $1,000 in the course of just a single year. From there, it took Bitcoin four years to increase from $1,000 to $10,000, and then seven years to increase from $10,000 to $100,000.

Does Bitcoin still have 10x upside?

The good news is that Bitcoin is likely still poised for a 10x upside. The growing consensus is that Bitcoin can make the jump from $100,000 to $1 million in just five years. So, if you buy Bitcoin today and hold on for the next five years, you might see a 10x increase in the value of your Bitcoin position.

It gets even better than that, because some bullish crypto investors think Bitcoin could eventually go much higher within the next two decades. Michael Saylor, founder and executive chairman of Strategy (NASDAQ: MSTR), thinks Bitcoin could reach a price of $21 million within the next 21 years, based on Bitcoin's rocketing pace of institutional adoption.

There are several important catalysts with the potential to catapult Bitcoin higher over the next decade. One of these is the creation of the Strategic Bitcoin Reserve within the United States. That has ignited similar types of proposals around the world, leading to the suggestion that a Bitcoin bidding war will break out among the major sovereign nations of the world. Some have referred to this as a "Bitcoin arms race."

Caveats for potential Bitcoin investors

By now, you might be thinking: This sounds too good to be true -- no asset can double in value every year, just like clockwork.

You'd be right. Bitcoin's fatal flaw is that it is prone to enormous volatility and dramatic downturns. While its long-term direction has been straight up, it has had several notable collapses along the way. In 2014, for example, Bitcoin lost 57% of its value. In 2018, it lost 74% of its value, and in 2022, it lost 64% of its value.

Simply put, while Bitcoin has achieved several periods of exponential growth, it is not growing at a compound annual growth rate (CAGR) of 100% or higher. Instead, its CAGR for the period of 2017 to 2025 was just 50%.

But that's perfectly OK, because that's almost high enough to put Bitcoin on a glide path to $1 million by the year 2030. In order to soar from a price of $100,000 to a price of $1 million within five years, Bitcoin would need to grow at a CAGR of 58.5%.

How much should you allocate to Bitcoin?

It's easy to see how Bitcoin itself has 10x upside potential. But what about your overall investment portfolio? Does it also have 10x upside potential?

If your portfolio consists solely of Bitcoin, then the answer is "yes." But you most likely have much more in your portfolio than just Bitcoin. So you would need to make a judicious decision about how much of your portfolio to allocate to Bitcoin. Right now, a conservative asset allocation to Bitcoin is 1%, while a more aggressive allocation is 5% or higher.

The more that you allocate to Bitcoin, the faster you can potentially grow your net worth. But it also means that there's a greater risk to your portfolio entirely if Bitcoin suddenly crashes in value, as it did in 2014, 2018, and 2022.

So before you decide to invest in Bitcoin, make sure you get the asset allocation right. It could have a significant effect on the overall growth of your net worth.

Dominic Basulto has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.