The price projection of Bitcoin has always been a well-discussed topic. Analysts, financial experts, and influencers all have something to say about the number one digital asset’s future value. The crypto space is cluttered with so many “experts” that it is hard to figure out which prediction is most likely to come true. But when a well-respected bank talks about future price valuation, chances are the average Joe would stop and listen. Well, Standard-Chartered Bank just said that Bitcoin will reach fifty-thousand dollars in 2023 and one hundred twenty thousand dollars in 2024.
The British multinational bank had a previous BTC projection of $100,000, but it now added another $20,000 to the number. According to Standard Chartered Bank’s analysis, the recent pumps could encourage Bitcoin miners to keep more of the supply and wait for higher prices before selling. These miners are like code breakers who get rewarded for cracking complex math problems or otherwise known as “hash puzzles.” Each solved problem adds a new block to the network. These blocks are digital ledgers that record all the transactions and are secured by cryptography.
Is 120k Bitcoin Possible?
Most Crypto investors believe that Bitcoin will keep on increasing in value. This is based on Bitcoin’s limited supply. Unlike fiat or paper currencies, which can be printed without a hard cap, the Bitcoin network will stop minting new coins once it reaches 21 million units. This scarcity is what reinforces the belief of BTC believers.
Bitcoin also undergoes a halving – a process wherein the rewards given to miners are cut in half. Historically speaking, a BTC halving signals an upward trend. It might not happen right away, but the price always hits an all-time high after the event. With this in mind, these might encourage miners to sell just enough BTC to fund their operations and wait for a new high before letting go of the rest.
There are also some pending applications for spot Bitcoin ETF filed by big traditional asset managers like BlackRock and Fidelity. These institutions control trillions of dollars in assets, and investing a fraction of these assets into Bitcoin can push the price to the moon.
Hostile regulations have always been Bitcoin’s primary enemy, but the 2024 presidential election is nearing, and a couple of candidates are pro-bitcoin. Presidential candidate Robert F. Kennedy Jr accepted BTC donations and even promised to make its ownership an inviolable right. A pro-crypto administration would propel prices to new highs.
The Bitcoin Chart
The above shows possible Fibonacci targets. Most traders pay attention to the 0.618 and 1.618 levels.
The 0.618 target at the moment is around $48,000, which coincides with the $50,000 prediction. This level is also a swing high on the monthly chart, which makes it a possible resistance. Once the resistance is broken, the next possible target is the all-time high of $69,000. A push above $69,000 opens the possibility of hitting the 1.618 target of $101,000. A break above $100,000 can induce a FOMO fever, which opens the possibility of hitting $120,000 or more.
Contrarians and Conclusions
A lot of investors are bullish on Bitcoin’s future, but there is always somebody who would beg to disagree. There are still who think that money is better invested elsewhere and crypto is just a giant Ponzi scheme. Nevertheless, the interest of traditional institutions like BlackRock, Fidelity, and Standard Chartered Bank is a good indicator of where institutions are investing. The charts also look promising, but several bearish analysts are predicting the opposite.
Predictions are, at best intelligent guesses. It might or might not happen. However, investors can always try to make the best decisions by keeping updated with the news and looking at different technical charts.
This article is not financial advice. It was made for educational and entertainment purposes only
Featured Image from Pixabay
