- Fundstrat forecasts an impressive 521% rise in Bitcoin’s price to $180,000 before the April 2024 halving, partly due to daily demand increases anticipated from a potential Bitcoin ETF introduction.
- The firm anticipates a 75% likelihood of the SEC authorizing a spot Bitcoin ETF, potentially drawing new investors and significantly escalating Bitcoin’s demand.
As a significant player in blockchain analysis, US-based Fundstrat has unveiled a striking forecast for Bitcoin’s price in the forthcoming months. This conjecture primarily focuses on the prospective influence of spot Bitcoin ETFs, particularly those under the auspices of investment heavyweights like BlackRock.
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The Potential Ripple Effect of Spot Bitcoin ETFs
According to Fundstrat’s experts, the operation of spot Bitcoin ETFs could trigger a domino effect within the Bitcoin network, dramatically magnifying its market value. Sean Farrell, the firm’s head of digital asset strategy, sees a 75% chance of the SEC approving a spot Bitcoin ETF shortly. Noteworthy contenders like BlackRock, Fidelity, Citadel, and Valkyrie have already submitted spot ETF applications by June 2023.
Halving and ETF: A Confluence that Could Ignite Bitcoin’s Ascent
Along with the ETF prospects, Fundstrat underscores the importance of the Bitcoin halving event set for April 2024. This significant event will halve the block rewards miners gain from processing Bitcoin transactions, thereby intensifying the cryptocurrency’s scarcity. Fundstrat’s analysts forecast an impressive 521% price jump for Bitcoin, driving it from its existing range of around $30,000 to a breathtaking $180,000 just nine months before the April 2024 halving.
In a scenario where a Bitcoin ETF gets the nod, Fundstrat foresees an additional $100 million in daily demand for Bitcoin. When coupled with the halving event, which will lower daily mining rewards to $12 million, this uptick in demand would require a hefty price rise to balance the scales between buyers and sellers.
Aligning with Bitcoin Enthusiasts
Fundstrat’s hopeful prognosis matches with other influential opinions in the cryptocurrency sphere. Prominent voices, such as Standard Chartered bank, Bitcoin proponent Michael Saylor, and Ark Invest’s Cathie Wood, also anticipate substantial growth for Bitcoin in the upcoming years.
As the market awaits the SEC’s verdict on the spot Bitcoin ETF applications with bated breath, the crypto community remains vigilant about the impending halving event and its possible influence on Bitcoin’s price trend. The fusion of these elements could ignite considerable shifts in the cryptocurrency market in the near future.
