According to the latest forecasts from Standard Chartered, the price of Bitcoin could reach the $100,000 threshold by the end of 2024.
This forecast, which reflects an optimistic view of the cryptocurrency market, is based on a series of economic and technical factors that could influence the value of Bitcoin in the coming months.
Let’s see all the details below.
Summary
The optimistic forecasts for the price of Bitcoin in 2024
As anticipated, Standard Chartered Bank, a giant in wealth management with 820 billion dollars, has predicted that Bitcoin could reach a new all-time high by August.
In particular arriving at $100,000 by November. Geoffrey Kendrick, head of digital asset research at the bank, indicated that this target could be influenced by the U.S. presidential elections.
The most famous cryptocurrency reached its current all-time high of over $73,000 in March of this year, mainly thanks to the approval of the ETF Spot on Bitcoin in January.
Now, the presidential race in the United States could be the catalyst for an even more significant rally.
This growth would lead the digital asset to surpass the current highest level by August, despite the recent price drop. Kendrick emphasized that this forecast heavily depends on the presence of Joe Biden in the presidential race.
Impact of the US elections on Bitcoin: scenarios and forecasts
According to Kendrick, the market sees Biden’s continued candidacy as an advantage for Donald Trump‘s chances, who would benefit from more favorable regulation and mining.
However, if Biden were to withdraw from the race at the end of July, it could be bad news for the price of Bitcoin, which could drop between $50,000 and $55,000.
Furthermore, if the democratic candidate who will replace Biden has a certain credibility, “Bitcoin prices will remain weak”. On the contrary, Biden’s permanence in the elections represents a “fantastic buying opportunity” for Bitcoin.
The beginning of August emerged as a crucial date for Biden’s candidacy, as stated by Kendrick:
“This is the date when Ohio law requires presidential candidates to be registered. So, if Biden is still the Democratic candidate on August 4th, he will be in the first week of November.”
In other words, these forecasts by Standard Chartered offer an intriguing look at how global political events can influence the bull market of cryptocurrencies.
In particular, emphasizing the importance of closely monitoring both market movements and political developments to seize the best investment opportunities.
The growth of spot ETFs on Bitcoin challenges market trends
The recent data from Bloomberg Intelligence indicate that spot Bitcoin funds have recorded net inflows of 790 million dollars, despite the price of Bitcoin (BTC) having dropped by 7%.
In particular, the iShares Bitcoin Trust (IBIT) by BlackRock, now the largest of the spot ETFs, has attracted inflows of over 1 billion dollars. Thus offsetting the continuous outflows from the Grayscale Bitcoin Trust (GBTC) with high fees.
This situation contrasts sharply with that of April, when spot funds as a group recorded large outflows while the price of Bitcoin fell by 15% that month.
Eric Balchunas, senior ETF analyst at Bloomberg Intelligence, wrote:
“Boomers are much better holders than some portray them,”
probably referring to the analyst James Bianco, who argued that the massive accumulation of spot ETF assets was due to investors with a low risk tolerance.
Part of the success in June can be attributed to the enthusiasm related to the possibility of a spot crypto ETF, with regulators and potential issuers visibly working to obtain approval.
Although the arrival of a competing spot crypto ETF may take money away from existing Bitcoin funds, it would also represent a positive signal.
The regulatory authorities might indeed finally recognize the crypto sector as an integral part of the financial system.
Furthermore, it has been reported that issuers of ETF su Ether have been asked to resubmit a significant filing before July 8. This has fueled hopes that the ETF su Ether might hit the market this month.
This move could further consolidate the acceptance of cryptocurrencies by traditional financial institutions and encourage an influx of new investments in the sector.
