In the dynamic world of cryptocurrency, industry leaders are optimistic about the start of a new bullish phase, with expectations growing that Bitcoin will reach new all-time highs above $100,000 in 2024.
Bitcoin has seen a remarkable rally, surpassing a 120% increase this year alone, leading many enthusiasts to believe that this upward momentum will continue in the coming year.
Last week, Bitcoin closed at around $37,450. The market saw significant volatility during the week, driven by the US Department of Justice’s settlement with Binance, the world’s largest cryptocurrency exchange. The settlement announcement and the departure of Binance’s CEO led to a temporary market dip, with BTC briefly trading at $35,700. The negative sentiment was quickly followed by positive news, with Binance experiencing no further regulatory action, contributing to the market’s newfound stability.
The beginning of the new week was marked by trading in BTC at a price of $40,665. A new highlight for this year.
2023 seems to be going down as the year to prepare for the bull run that is yet to come. The sentiment is very hopeful for 2024 and 2025.
Despite the crypto industry facing challenges such as coin collapses, failed projects, bankruptcies and criminal trials, recent high-profile cases involving exchanges like FTX and Binance are seen by many as a turning point. Some industry insiders believe that the speculative phase is nearing its end, allowing a shift towards constructive development and problem solving within the cryptocurrency space.
It seems the speculative phase is over, leaving room for real builders to focus on the technology and problem solving.
Attention is now shifting to positive developments. First, there is growing excitement around the possible approval of a Bitcoin Exchange Traded Fund (ETF). If approved, this could attract larger traditional investors, marking a major milestone in Bitcoin’s mainstream adoption.
The second notable development is Bitcoin’s planned halving in May 2024. This event, which takes place every four years, will see miner rewards halved, limiting the supply of Bitcoin. Historically, this has been a catalyst for new rallies in the cryptocurrency market.
Investors are watching these developments closely, with a particular focus on the potential approval of ETFs and the upcoming halving. Matteo Greco, research analyst at the listed digital assets and fintech investment sector Fineqia International
“the approval of US-based Bitcoin Spot ETFs could likely not only trigger capital inflows but also inject significant liquidity into the market, thus promoting more stable prices and facilitating more favorable transactions on both digital asset exchanges and financial instruments that digital assets as underlying assets. ”
Bold predictions for Bitcoin in 2024 have already surfaced, predicting that Bitcoin could reach $100,000 by the end of 2024, driven by the adoption of several ETFs. This would represent a substantial rally of 160% from the current price.
Further, Matrixport, a crypto-financial services provider, predicting a price of $63,140 by April 2024 and a staggering $125,000 by the end of the following year. Their report highlighted factors such as an expected decline in inflation and possible interest rate cuts by the Federal Reserve as contributors to Bitcoin’s potential new highs in 2024.
As the cryptocurrency landscape evolves, industry leaders and investors alike are eagerly anticipating a transformative year, full of potential milestones and new heights for Bitcoin.