Important points
Bitcoin made new highs in 2024. The SEC approved the first spot bitcoin ETFs in January. Interest rate cuts could trigger the next crypto rally.
After a solid start to 2024, bitcoin hit a summer slump.
The world’s most valuable crypto climbed to a new high of $73,750 on March 14. Unfortunately, optimism surrounding the January 2024 launch of spotbitcoin exchange-traded funds seems to have faded.
Bitcoin bulls are still hoping that the new ETFs will open the door to massive institutional investment.
Bitcoin bears see no obvious catalyst to send BTC prices higher. Sticky inflation has slowed the Federal Reserve’s pivot to rate cuts. Increased interest rates may continue to weigh on crypto prices in the near future.
Bitcoin price prediction
Bitcoin’s unique construction and extreme volatility make price predictions very difficult. Even industry experts and financial professionals struggle with accurate price targets.
Cathie Wood’s bitcoin predictions
Cathie Wood, CEO of Ark Invest, is one of the bravest bitcoin bulls on Wall Street. In March 2024, Wood predicted that bitcoin prices could reach $3.8 million by 2030. She said institutional investors would eventually allocate more than 5% of their portfolios to bitcoin.
Bitcoin investors should take Wood’s predictions with a grain of salt. The controversial Wood and her funds have a mixed record. Ark’s flagship ARK Innovation ETF (ARKK) has returned -9% over the past five years. That performance severely underperformed the total return of the S&P 500.
Jack Dorsey’s bitcoin predictions
Jack Dorsey is the co-founder and former CEO of Twitter as well as the CEO and Chairman of Block. He is also one of the most high-profile bitcoin bulls in the tech world.
In a May interview with Pirate Wires, Dorsey was asked what the price of bitcoin will be in 2030.
He replied: “I don’t know. More than a million. I do think it hits that number and goes beyond. But I think the price is just interesting. The most amazing thing about bitcoin, apart from the founding story, is anyone who works on it, or gets paid in it, or buys it for themselves – everyone who makes any effort to make it better – makes the whole ecosystem better, which makes the price go up .”
Dorsey went on to say that the most critical part of bitcoin’s story is its potential to decentralize the financial system.
Bitcoin price prediction 2025
If the bitcoin rally resumes, it could return to new all-time highs by 2025. The recent bitcoin halving has reduced the rate of BTC production. If institutional investment in bitcoin begins to gain momentum, bitcoin prices could soar in the next 12 months.
Lou Kerner, co-founder of CryptoOracle Collective, said the bitcoin rally will continue.
“Based on the (historical) highs and lows of rapid bitcoin cycles, I would expect bitcoin to exceed $80,000 this year and $200,000 in 2025,” Kerner said.
Will bitcoin reach $100,000?
Bitcoin will need to gain a lot more to reach $100,000. This may seem like an extreme move for the typical stock investor. But bitcoin has a long record of extreme volatility. In 2023 alone, bitcoin prices rose to nearly 156%. If the crypto maintains its historical volatility, $100,000 may be closer than it seems.
Will bitcoin reach $150,000?
Bitcoin’s path to $150,000 depends purely on demand. With a fixed supply, demand from users and investors is its primary driver.
Michael Collins, chartered financial analyst and founder and CEO of WinCap Financial, said $150,000 bitcoin prices are easily within the realm of possibility. But BTC’s extreme volatility means another deep sell-off is also possible.
“Based on the current market trend, it is possible that bitcoin could reach $100,000 by the end of 2024 and possibly exceed $200,000 by the end of 2025,” Collins said.
Unfortunately, he said bitcoin’s momentum in 2023 and 2024 is unlikely to continue indefinitely.
A long-term bitcoin price chart seems to indicate that crypto is heading towards $150,000. But past performance is no guarantee of future profits.
Will bitcoin reach $1 million?
It’s easy to dismiss bitcoin bulls charging $1 million prices as mere price pumpers or cheerleaders. But a BTC price of $1 million might not be too far-fetched.
Anthony Rousseau, head of brokerage solutions at TradeStation, said bitcoin has a plausible path to $1 million. But investors should be patient. The road to $1 million can be bumpy and long.
“With global debt challenges, the tendency is to expand the base money, which is bad for many. But (it) can be beneficial for those who hold hard assets like bitcoin,” Rousseau said. “It is plausible that bitcoin will reach gold’s market capitalization – which is currently around $15 trillion – potentially pushing bitcoin to $1 million by the next decade,” he added.
$1 million BTC bull case
Eliézer Ndinga, vice president of digital assets at 21Shares, said gold is the key to the $1 million BTC bull case. “In theory, if bitcoin reaches the market value of gold, the price per bitcoin will be over $797,000,” Ndinga said.
The methodology suggests that bitcoin is completely replacing gold as a global store of value. That replacement will only take place after a period of time and may only take place partially. BTC and gold may continue to share the role of preferred alternatives to fiat currency. Regardless, there is a plausible path for BTC prices to eventually reach $1 million.
Collins said there is also a distinct possibility that bitcoin prices will never reach $1 million.
One of the biggest reasons is that bitcoin has historically been a volatile asset, making it difficult for investors to have confidence in its long-term value and potential as an investment vehicle. Also, global government bans, regulations, taxes and oversight of cryptocurrency may limit bitcoin’s eventual adoption.
Bitcoin price history
Bitcoin Price: 2010 – 2017
Bitcoin began trading on online exchanges in 2010. In April 2011, the original crypto crossed a dollar in value for the first time.
As its popularity and visibility increased, bitcoin’s volatility and unique blockchain-based design gained the attention of investors. Bitcoin prices first reached $1,000 in 2013. But crypto gained significant mainstream awareness when its prices surged to nearly $20,000 in December 2017.
One of the biggest driving forces behind the crypto bubble of 2017 was CME Group’s decision to launch crypto futures at the end of 2017. It was the first of its kind, a mainstream financial bitcoin-related financial product.
Bitcoin Price: 2018 – 2022
After the crypto market frenzy died down in 2018, bitcoin prices fell below $4,000.
Stock and crypto trading became trendy again during the COVID-19 pandemic at the end of 2020. From there, bitcoin prices rose to new all-time highs. After a series of bitcoin futures ETF launches in late 2020, bitcoin hit $69,000 in November 2021.
Rising interest rates triggered a sell-off in bitcoin and other risk assets in 2022. As a result, bitcoin prices fell by about 64% that year. The selloff was further exacerbated by stablecoin terraUSD’s collapse in May 2022. Several crypto firm bankruptcies followed during the ensuing crypto winter.
Bitcoin Price: 2023 – 2024
Bitcoin has finally hit its 2022 low at less than $16,000. But the original cryptocurrency bounced back above $20,000 by January 2023.
Bitcoin prices remained remarkably resilient even when crypto-focused banks Silvergate Bank and Signature Bank collapsed during a US regional banking crisis in early 2023.
Fears about contagion of the crypto market died down after the banking crisis. Investors have shifted their focus from 2022’s crypto winter to the possibility that the SEC may soon approve the first spot bitcoin ETF.
Bitcoin investor sentiment cooled, and price momentum stalled in the summer of 2024. But longtime crypto investors know that gains, losses and sentiment can make a sentiment. The last time bitcoin finished a calendar year with a gain or loss of less than 60% was in 2015.
Bitcoin price statistics
Is now the time to buy, sell or hold bitcoin?
The launch of spot bitcoin ETFs in early 2024 significantly improved bitcoin’s fundamental outlook. But the momentum faded, and the rally stalled. There is also no clear bullish catalyst to push prices higher in the near term.
In addition, a $9 billion payout to creditors of failed crypto exchange Mount Gox could create BTC selling pressure in the short term. The approval of the first spot ethereum ETFs could renew interest in spot bitcoin ETFs. If investors reallocate to diversify into ethereum, it could also pressure bitcoin prices.
Is bitcoin overpriced or underpriced?
It is extremely difficult to use traditional valuation models to assign a fair value to bitcoin. The cryptocurrency does not represent an ownership interest in a company or other asset. It does not generate cash flow, revenue or income. It does not pay interest or dividends.
Due to its fixed supply, its price is mainly determined by the demand of investors and users. Its current and future fair value price will depend on its popularity as a store of value and alternative currency.
Frequently Asked Questions (Frequently Asked Questions)
How high will bitcoin go in 2024?
It is almost impossible for financial professionals and analysts to predict short-term bitcoin price movements. The supply-to-flow model, which is not entirely reliable, suggests that bitcoin prices could rise above $100,000 in early 2025.
What is the bottom price prediction for bitcoin in 2024?
The range of bitcoin price targets is extremely wide because there is no clear way to accurately value bitcoin from a fundamental perspective.
Several high-profile bitcoin skeptics still believe the cryptocurrency is inherently worthless. These “bitcoin doubters” include economist and professor of applied economics at Johns Hopkins University Steve Hanke, Nobel Prize-winning economist Paul Krugman, and Euro Pacific Asset Management chief economist Peter Schiff.
“The reason you claim that bitcoin is property is that (it) is useless as a currency. It is not a viable medium of exchange or (a) unit of account. Since it has no intrinsic value, it cannot be a store of value. If it is property, it is the least valuable property one can own. It’s worthless.”
– Peter Schiff
Disclaimer for Uncirculars, with a Touch of Personality:
While we love diving into the exciting world of crypto here at Uncirculars, remember that this post, and all our content, is purely for your information and exploration. Think of it as your crypto compass, pointing you in the right direction to do your own research and make informed decisions.
No legal, tax, investment, or financial advice should be inferred from these pixels. We’re not fortune tellers or stockbrokers, just passionate crypto enthusiasts sharing our knowledge.
And just like that rollercoaster ride in your favorite DeFi protocol, past performance isn’t a guarantee of future thrills. The value of crypto assets can be as unpredictable as a moon landing, so buckle up and do your due diligence before taking the plunge.
Ultimately, any crypto adventure you embark on is yours alone. We’re just happy to be your crypto companion, cheering you on from the sidelines (and maybe sharing some snacks along the way). So research, explore, and remember, with a little knowledge and a lot of curiosity, you can navigate the crypto cosmos like a pro!
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