In a bold prediction, Standard Chartered, a multinational bank, anticipates that Bitcoin (BTC) could surge to nearly $200,000 by the close of 2024, contingent upon the approval and success of Bitcoin exchange-traded funds (ETFs) in the United States. The bank’s projection assumes that between 437,000 and 1.32 million Bitcoins will be held in U.S.-listed spot Bitcoin ETFs, translating to an estimated influx of $50-100 billion.
Kendrick and Cooper, executives at Standard Chartered, suggest that for Bitcoin to reach $200,000, it would need to experience a 4.3-fold increase from its current value of $47,000. The executives view the potential approval of spot Bitcoin ETFs as a pivotal moment for normalizing Bitcoin participation in mainstream finance.
Interestingly, this forecast aligns with the bank’s earlier prediction that Bitcoin will reach $100,000 by the end of 2024. However, there are varying opinions on the sustainability of Bitcoin’s rally post-ETF approval.
Blockchain strategist Jamie Coutts, formerly of Bloomberg Intelligence, highlights Bitcoin’s robust network fundamentals, emphasizing that despite its recent surge, Bitcoin remains undervalued compared to its peak levels.
On the contrary, Bloomberg Intelligence’s senior macroeconomic strategist, Mike McGlone, expresses caution, suggesting that risk assets, including Bitcoin, might face a downturn after the potential approval of Bitcoin ETFs. McGlone warns against getting overly bullish, citing the significant rally already witnessed and the historical outcomes of similar events.
As the industry eagerly awaits regulatory decisions on Bitcoin ETFs, analysts and experts continue to assess various factors, from network fundamentals to historical precedents, to gauge the potential impact on Bitcoin’s trajectory in the coming year.