Analysts have recently focused on Bitcoin’s potential trajectory after the expected halving. Adrian Zduńczyk, a prominent crypto trader, has done just that shared a bullish outlook, suggesting that Bitcoin could soar to new all-time highs after the halving.
Zduńczyk’s projections shared on X are subject to favorable market conditions and critical financial events.
Bitcoin’s Bright Outlook
Early 2024 already showed a positive trend for Bitcoin, due to growing confidence among investors. Zduńczyk links this optimism to a parallel move in traditional markets, particularly the S&P 500, which is expected to return 12.8% in January.
This positive stock market trend is seen by analysts as a potential catalyst for greater capital inflows into Bitcoin, strengthening the correlation between the cryptocurrency and the US stock markets.
3/ With an abnormally strong S&P return of +12.8% and a strong correlation, BTC should receive additional reinforcement from the bullish stock market outlook.
In addition, #BTCThe weekly chart shows support @ $30,000, with 50-week and 200-week rising trends. Resistance @ $48k-50k.
Also, … pic.twitter.com/Ffh8Mq74OS
— Adrian Zduńczyk, CMT (@crypto_birb) January 1, 2024
The upcoming halving in April, a major event in the Bitcoin ecosystem, is another factor boosting Zduńczyk’s price. bullish predictions. This event, which halves the reward for Bitcoin mining, historically causes a rise in Bitcoin’s price by limiting the new supply coming into circulation.
Analysts like Zduńczyk see this as a key moment that could propel Bitcoin to unprecedented heights. Adding to this optimistic scenario is increasing speculation surrounding the approval of a spot Bitcoin ETF in the United States.
According to Zduńczyk, this approval could drive trillions of dollars into the crypto market, marking a major milestone in institutional adoption.
Experts expect that the US Securities and Exchange Commission (SEC) will do so green light for such an ETF will soon be givenwhich could have profound implications for Bitcoin’s valuation and market dynamics.
Bitcoin 2024 Trajectory: Analysts Predict Sky-High Valuations
Forecasts for Bitcoin’s price in the wake of the upcoming halving and the adoption of spot Bitcoin ETFs in the US vary, with some analysts setting ambitious targets. James Butterfill of CoinShares predicts a potential increase to $80,000, while Antoni Trenchev of Nexo foresees a rise to $100,000.
Venture capital firm CoinFund, through managing partner Seth Ginns, sets an even higher expectation, predicting that Bitcoin will be worth between $250,000 and $500,000 by 2024.
Ginns attributes this to a combination of factors, including the expected adoption of spot ETFs in the US and a declining correlation with traditional economic indicators such as the dollar and real interest rates.
Bitcoin is experiencing a bullish trend and crosses a significant threshold by trading above $45,000 for the first time since April 2022. The asset is up 6% in the last 24 hours and 6.1% in the last week.
Notably, BTC trading volume has witnessed a significant spike, from $13 billion on Monday to over $33 billion today.
Featured image from Unsplash, chart from TradingView
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