Fidelity Investments’ global macro director Jurrien Timmer predicts that Bitcoin (BTC) will never reach millions of dollars in value for one key reason.

In a new interview with Scott Melker, Timmer says that Bitcoin will not hit the astronomical seven-figure price because investors tend to value assets against other assets.

“I was on another podcast and the question was, Will Bitcoin just eat everything else?

And I don’t think that’s going to happen.

I think it’s doing it in a way right now, and it has been, but it’s not going to replace real estate or equities or other assets to such an extreme that Bitcoin is at millions or a billion, and the S&P is at 500 or gold is at $500 because it has cannibalized everything else.

Because at some point, I think prudent investors are going to look at relative value, and they’re going to say, ‘Okay, Bitcoin is now at $200,000 and gold is at $1,000 because it got cannibalized by Bitcoin, you know what, I’m going to buy gold at $1,000, I think that’s a good value.’

You have the gold-to-silver ratio and when it runs out of whack people will substitute. I think that will happen at some point with Bitcoin, as it should, because it’s one of several assets, and they should all be valued against each other and against the economy and inflation, etc.”

Bitcoin is trading for $55,946 at time of writing, up over 3% in the last 24 hours.

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