Leading financial institution Standard Chartered has suggested that the flagship cryptocurrency, Bitcoin (BTC), could experience a remarkable surge, reaching $50,000 within this year and soaring to an impressive $120,000 by the conclusion of 2024.
Standard Chartered initially released a forecast of $100,000 for Bitcoin’s value by the end of 2024 back in April, stating that the so-called “crypto winter” had come to an end.
However, Geoff Kendrick, one of the bank’s esteemed FX analysts, now suggests that there is a 20% upward potential to that initial prediction, signifying even greater prospects for Bitcoin’s future as per a report by Reuters on July 10.
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This projection has the potential to stimulate Bitcoin miners, encouraging them to amass an increased portion of the cryptocurrency’s supply.
“Increased miner profitability per BTC mined means they can sell less while maintaining cash inflows, reducing net BTC supply and pushing BTC prices higher,” Kendrick said in a report.
Institutional interest
Notably, Bitcoin has seen a wave of institutional interest besides the bank with over $800 billion in assets as a direct consequence of investment giant BlackRock’s application to U.S. regulators for a Bitcoin spot exchange-traded fund (ETF) based on the popular cryptocurrency, which took place on June 15.
However, the Securities and Exchange Commission (SEC) has consistently rejected proposals for Bitcoin ETFs that are not based on futures contracts. This rejection primarily stems from concerns regarding potential market manipulation in the spot Bitcoin market.
To address these apprehensions, BlackRock aims to alleviate regulatory concerns by establishing an agreement with Nasdaq, the planned listing platform for the ETF. The agreement is expected to involve “surveillance-sharing” of a Bitcoin trading platform.
In addition to BlackRock’s ETF endeavors, this month witnessed the launch of EDX Markets, a digital asset exchange catering to accredited investors. Backed by prominent entities such as Fidelity, Charles Schwab, and Citadel Securities.
