Matt Hougan, chief investment officer at crypto asset manager Bitwise, has outlined five key factors that could propel bitcoin to $100,000 by the end of 2024.
What Happened: Headwinds are temporary, Hougan says, according to The Block.
Indeed, there was the German government‘s bitcoin sales, Mt. Gox returning Bitcoin to creditors and the U.S. government holding bitcoin seized from Silk Road. But there are key tailwinds such as strong spot ETF inflows, spot Ethereum ETFs, changing political attitudes and potential Fed rate cuts that could drive Bitcoin to $100,000.
Also Read: How To Successfully Trade News In Crypto
Why It Matters: Over recent months, Bitcoin’s price movements have shown a significant divergence from U.S. equity indices. Fresh data indicated that Bitcoin’s correlation with major U.S. equity indices has fallen to its lowest point since November 2023.
Prediction markets price in an almost 80% chance of Bitcoin dipping below $50,000 this year. The apex crypto has traded mostly flat on Wednesday but has recovered from its Friday bottom of $54,000 to trade around $57,500.
What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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