Bitcoin is expected to see more price hikes later this year, even after a recent price decline, according to Standard Chartered’s top crypto analyst. Geoffrey Kendrick, head of foreign exchange research at West and digital assets research at Standard Chartered, said in a research note this week that he expects bitcoin to hit $150,000 per coin and ether to hit $8 000 dollars by the end of 2024, a doubling from a bullish forecast from the bank earlier this year. “We believe the bad news is already priced in for BTC and ETH, and that positive structural factors will take over as negative factors fade,” Kendrick said in the April 22 note. “Additionally, market positioning is now much clearer than it was: $261 million in leveraged long positions were removed from BTC futures alone on April 13 – the largest liquidation daily since at least October 2023 – in response to the Iranian attack on Israel that day. ” Kendrick was referring to the liquidation of speculative Bitcoin trades that were increased by investors using borrowed cash to make larger bets on future fluctuations in the cryptocurrency’s price. Bitcoin temporarily fell below 60 000 dollars last week as traders reacted to news of an escalation in the military conflict between Iran and Israel While cryptocurrency supporters believe bitcoin provides a hedge against periods of instability. Economic and geopolitical, bitcoin has behaved more like traditional risk assets, like stocks, in recent years, as more and more institutional investors have poured money into the asset. Bitcoin trading has shown that it can often react to bad news more quickly than stock traders because the crypto market operates 24/7, while stocks and other conventional markets only trade ‘in Week. Nevertheless, despite Bitcoin’s losses following the recent Iranian attack on Israel, Kendrick believes that the cryptocurrency has the potential to rise in the coming months and reach a new all-time high well above the price of $73,797.68 which it reached on March 14. Kendrick said the supply shock caused by the bitcoin halving – which limits the supply of new bitcoin issuance to 3.125 bitcoins, or about $208,360.31 on Wednesday, from 6.25 bitcoins – as well as by the he arrival of new bitcoin exchange-traded funds, which are sucking up billions of dollars. cryptocurrency value from exchanges would support prices towards the end of 2024. This is even as the token faces a litany of other bad news, including the blocking of new inflows of Bitcoin ETFs to the States -United ; dampened expectations for approval of an ether spot ETF in the United States; a Securities and Exchange Commission lawsuit against decentralized exchange Uniswap; higher U.S. Treasury yields; and escalating tensions in the Middle East. “Yes, US BTC ETF inflows are at a standstill, but now we are past the halving, only half the inflows are needed to cover the net new supply, and the global ETF backdrop (UK -United, Hong Kong) is improving. In addition, significant long liquidations over the past two weeks mean that market positioning is much clearer, Kendrick said. tensions in the Middle East, I think it is time to recommit to long-term investments.”
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