The price of bitcoin could hit $349,000 by 2044 if millennials and generation Xers invest at least 5% of the wealth they inherit from Baby Boomers to invest in the flagship cryptocurrency.

According to a report published by the in-house research team of the cryptocurrency exchange, Kraken Intelligence, in the United States alone there will be a $70 trillion wealth transfer to the more bitcoin-friendly generations in the coming decades, which could significantly impact the price of bitcoin.

In the report, titled “Inheriting USDs & Acquiring BTCs: How ‘The Great Wealth Transfer’ Will Fuel ‘The Great Bitcoin Adoption’” Kraken shows tables assuming inheritance tax ranging from 1% to 5%, and the allocated wealth going into the cryptocurrency space going from 1% to 10%, and projects 70% of the $70 trillion wealth transfer “will occur in the next 10 years.”

The total amount going into the cryptocurrency space could, as such, be of $196 billion if the investment allocation is of 1% and the inheritance tax is of 5%, or of $1.9 trillion if the inheritance tax is of 1% and an investment allocation of 10%, the latter being the more aggressive assumption.

Assuming an inheritance tax of 2% and a 5% allocation, the implied price of bitcoin would be of $349,255 by 2044. This, if the assumed investment is of $971 billion. The more aggressive estimate, using a 1% tax and a 10% investment allocation, would see BTC hit $705,000. The more modest one, with higher tax and a lower allocation, would see it hit $67,713.

These estimates, Kraken adds, are notable as younger generations are more likely to invest in bitcoin. It cites a survey that saw 42% of respondents between 18-34 say they were likely going to buy bitcoin over the next five years, compared to 8% of those 65 and over.

As CryptoGlobe reported, a study conducted by brokerage giant Charles Schwab showed millennials have a higher holding in Grayscale’s Bitcoin Trust (GBTC) fund than in Netflix, Warren Buffet’s Berkshire Hathaway, Microsoft, and Alibaba.

Kraken’s report further noted that generation Xers may end up investing in bitcoin as they “value self-reliance” and “grew up with computers,” while millennials may invest because they prefer “tech products” and “transparency and mobility,” among other reasons. It’s worth noting volatile assets such as BTC may not be a good investment for people close to retirement.

Featured image via Unsplash.