Recently, crypto giant Pantera Capital hinted at a soaring Bitcoin price prediction, eyeing a mark around $148,000 in its upcoming four-year cycle.
The firm’s new “Blockchain Letter” shares a bright view for 2024, delving deep into various key aspects.
This news breaks as Bitcoin BSC, a fresh Bitcoin variant, hit the $100,000 notch in a presale that kicked off two days back, on September 5th.
Given the general high hopes for Bitcoin’s future, many also see a bright path for Bitcoin offshoots.
Why Does Pantera Capital Have a Bold Bitcoin Price Prediction?
At the heart of Pantera’s bitcoin price prediction is the April 2024 Bitcoin halving event. This event cuts miner gains by half, slowing the influx of new Bitcoins in the market.
This shift ramps up Bitcoin’s rarity, offering it a strong stance against assets prone to inflation, like fiat money.
Notably, the 2020 halving spurred a major climb in the bitcoin price in the months that followed.
July brought a key win for the crypto realm when Ripple Labs had a good court result.
This verdict boosted market spirits, hinting at a future where crypto rules might be more lenient.
The sector got a lift with BlackRock’s move to file for a Bitcoin spot ETF, hinting at a growing trust and interest in Bitcoin as a viable investment option.
Pantera Capital leans on Bitcoin’s past data to shore up its forecast. The firm points out the steady rise in bitcoin price post every halving event.
For instance, a notable peak came about 16 months post the 2016 halving.
Pantera uses the stock-to-flow model to map out trends around each halving, pitting Bitcoin’s current supply against new output rates.
Despite a few misses, like the low $6,500 guess in April 2018, the firm had a win with the close guess of $63,000 in April 2021.
What’s Next for the Bitcoin Price?
As per Pantera, the 2024 halving could see the bitcoin price hover around $35,000 before the event takes place.
They note a potential surge to about $148,000 over a year after the halving, eyeing a new peak by July 2025.
While a few experts nod at this lofty valuation, most feel such a peak might come only after the 2024 halving.
Pantera’s bold bitcoin price forecast, along with Bitcoin BSC hitting the $100,000 mark, fuels the upbeat mood around the future of Bitcoin and its akin platforms.
Though Bitcoin BSC is in its nascent phase, early investors might see a big gain in the coming months.
Thus, a flurry of buyers are flocking to get Bitcoin BSC while its initial market cap still trails Bitcoin’s by 100,000.
Bitcoin Future Prospects
2022 was indeed a difficult year for all cryptocurrency enthusiasts, including those invested in major players like Bitcoin and Ethereum. Bitcoin, the world’s top cryptocurrency, saw a significant decrease, losing about 65% of its market value over the year. The unexpected downturns like the Terra Luna crash and the slump of FTX, coupled with broader economic factors, took many by surprise.
As we entered 2023, there was a flicker of hope with cryptocurrencies showcasing signs of recovery. In July, Bitcoin showed a slight increase, averaging a 0.39 boost and reaching a price point around $31,000. However, by the end of August, the value had retreated to $25,931. Despite touching the $30,000 mark, it dwindled down to $25,000, with a market cap standing at $504 billion and a trading volume of $20 billion.
This brings several burning questions to the forefront for crypto traders and enthusiasts alike. Everyone is curious about what the end of the year holds. Is there a potential for a Bitcoin resurgence in the remaining months, or is another crypto crash is on the horizon?
Can Bitcoin Reach $100,000 by 2023?
Everyone knows that Bitcoin’s value has soared over 80% since the beginning of the year. Its swift and surprising growth has outpaced many other substantial assets, offering big rewards for those who snapped up Bitcoin when prices dipped.
The buzz in the crypto sphere is palpable as people eagerly watch BTC’s ascent, with many anticipating even higher peaks. Marshall Beard, a top strategist at the Gemini crypto exchange, is optimistic about Bitcoin breaking its past records within this year. He even mentioned that reaching a bitcoin price of “$100,000 would be a notable milestone, especially if it surpasses its earlier peak close to $69,000”.
To attain this ambitious mark of $1 lakh, Bitcoin would need to ramp up by 270% from its current position.
Similarly, Tether’s tech head, Paolo Ardoino, holds a positive stance on Bitcoin price prediction. He hinted that BTC might soon challenge its former highest bitcoin price near $69,000 once more.
All signs point to 2023 being a promising year for Bitcoin enthusiasts, who often liken it to “digital gold” or a “reliable investment” during turbulent times. The anticipation of the U.S. Federal Reserve possibly avoiding steep hikes in interest rates fuels optimism for a substantial boost in the bitcoin price, making it a potentially lucrative year for investors.
Can Bitcoin Reach $1,000,000 by 2025?
Bitcoin amateurs are often overly optimistic, forecasting grand futures for their preferred digital asset. Following the recent surge, many are speculating about the potential for BTC, the foremost cryptocurrency, to escalate to an impressive 10 lakh mark by 2025.
This significant 10 lakh mark is being touted by several famed figures in the crypto sector. Notably, Standard Chartered, a prominent British multinational bank, has recently upgraded its bitcoin price prediction for the end of 2024 to a range of $100,000 to $120,000, citing enhanced rewards for BTC miners in one of its latest analyses. Moreover, they project a bitcoin price of $50,000 by the close of this year.
In the same vein, Samson Mow, a prominent figure in the crypto domain and the head of JAN3, anticipates the bitcoin price touching $1 million within the forthcoming five years. Adding to the speculative voices, Balaji Srinivasan, a seasoned investor and ex-CTO at Coinbase, wagered that BTC could scale to 10 lakh or even higher in a mere 90 days.
Srinivasan grounded his bold claim in the belief that impending hyperinflation stages will weaken the dollar’s value, encouraging individuals to accumulate more BTC. “Hyperinflation” refers to a rapid, substantial surge in the pricing of goods and services over a short span.
Contrarily, some experts in the cryptocurrency sector argue that reaching the 10 lakh mark is plausible, but not in the immediate future. They deem predictions for 2023 or a 90-day timeframe as highly improbable.
In this context, Marshall Beard remarked, “Claiming Bitcoin to hit a million dollars in 90 days indicates a chaotic global scenario, which is undesirable.” He conceded that reaching such a bitcoin price might be feasible, but likely not before a decade, tempering the extreme forecasts circulating.
Will Bitcoin Crash Again in 2023?
Many investors hold a bearish view on Bitcoin. They suspect a looming “bull trap”. Mark Mobius, a notable investor, predicts a steep decline soon. He suggests it might plummet to around $10,000.
Matthew Sigel of VanEck shares this sentiment. He eyes a fall to the $12,000 range. He cites the hike in energy prices as a reason.
Standard Chartered bank gives a bleak forecast too. They foresee a drop to a mere $5,000 in 2023. This prediction is indeed startling.
Crypto experts remain wary of the market trends. They hint at relentless hikes and stringent monetary policies. These factors might prevent a brisk rebound for Bitcoin. Investors may avoid such risky ventures. Current holders may opt to sell, exerting more pressure on the crypto sphere.
FAQ
Q: What is Bitcoin BSC?
A: Bitcoin BSC is a variant of the original Bitcoin, created to work on the Binance Smart Chain (BSC). This allows it to have faster and cheaper transactions compared to the original Bitcoin network. It integrates the features of Bitcoin with the advanced functionalities of the Binance Smart Chain.
Q: What is Bitcoin halving?
A: Bitcoin halving is an event that happens approximately every four years, where the reward for mining new blocks is halved, meaning miners receive 50% fewer bitcoins for verifying transactions. This process continues until the maximum supply of 21 million bitcoins is reached. Halving is a method to control inflation within the Bitcoin network.
Q: What is a bull trap?
A: A bull trap is a term used in the cryptocurrency market to describe a false signal indicating that the declining trend of a particular asset has reversed and is heading upwards. Investors who buy in thinking the asset will rise in value can be trapped when the price resumes its downward trend instead.
Q: What is a Bitcoin spot ETF?
A: A Bitcoin spot ETF is a type of investment fund and exchange-traded product, with shares that are tradable on a stock exchange. A spot ETF directly tracks the real-time price of Bitcoin, rather than futures contracts. This means that investors can buy shares of the ETF to indirectly invest in Bitcoin, without having to deal with the complexities of holding the cryptocurrency themselves. It offers a way to get involved with the potential gains from Bitcoin’s price movements without having to buy the cryptocurrency directly.
Key Takeaway
In conclusion, as we navigate through the dynamic landscape of cryptocurrencies in 2023, it is essential to stay updated with pivotal concepts and developments. Understanding terms like Bitcoin BSC, which leverages the functionalities of the Binance Smart Chain, and the Bitcoin halving process, a mechanism to curb inflation, can be crucial. Moreover, being aware of market nuances such as “bull traps” can prevent investors from making hasty decisions based on misleading market trends. Lastly, the emergence of Bitcoin spot ETFs presents a simplified avenue for investors to partake in Bitcoin investments without delving into the intricacies of handling cryptocurrencies. As the year progresses, all eyes are on the market’s trajectory, fostering hopes for a potential resurgence and stability in the Bitcoin market.
