Matrixport, a leading digital asset player, on Thursday, November 9, 2023, published a study entitled “2024 Unveiled: Six Micro and Macro Events That Will Shape Bitcoin,” which sheds light on pivotal events expected to shape the crypto landscape in 2024 will shape. . The report highlights a mix of micro and macro events that are expected to have a positive impact on the sector, with a particular emphasis on Bitcoin.
Top 6 Predictions for Bitcoin and Crypto
First, the report underlines expectations that the US Securities and Exchange Commission (SEC) will approve a Bitcoin ETF. Notably, the company believes that the approval of the first spot ETFs will take a few more weeks. Matrixport stated: “We expect the SEC to approve a Bitcoin ETF in January 2024, with trading expected to begin in February or March.” This event is seen as a huge catalyst for increased institutional investment in Bitcoin.
Furthermore, Matrixport points to the possible listing of stablecoin issuer Circle on the stock market by April 2024. This event is seen as an important step towards mainstream adoption of digital assets. According to a Bitcoinist reportCircle, the company behind the stablecoin USDC, is considering an IPO in early 2024.
The company is currently working with consultants to lay the groundwork for this potential stock exchange listing, although it remains uncertain whether the IPO will ultimately occur.
Matrixport’s third prediction concerns FTX: “Although the announcement of FTX’s winning bid could take place in December 2023, we expect the exchange to be operational in May or June 2024,” the report predicts. It is expected that FTX will regain its position as a top 3 exchange within 12 months and make a strong comeback in the crypto exchange landscape.
The report also notes the interplay between these three events and Bitcoin’s halving cycle, suggesting a synergistic effect that could drive momentum into the next year. The halving is expected to take place in late April 2024 and could be the most impactful halving of all time. Bitcoin will become the most difficult asset in the world as BTC inflation will drop to half that of gold.
Ethereum and macro forecasting
As a fifth prediction, Matrixport considers Ethereum’s EIP-4844 upgrade, scheduled for the first quarter of 2024, as a minor, but still notable, event. The report states: “While it is challenging to see this as a major upside catalyst, Ethereum’s IEP-4844 upgrade will occur in the first quarter of 2024.”
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Furthermore, the possible interest rate cut by the US Federal Reserve in mid-2024 is cited as a macro event that could have a significant impact on the crypto market. “This [Ethereum’s upgrade] also coincides with the possible rate cut by the US Federal Reserve by mid-2024, as market prices indicate that the first rate cut will occur in June 2024,” the report explains.
The report concludes with an analysis of short-term Bitcoin price movement. It notes: “Next week’s US CPI data could trigger another rally in Bitcoin if inflation falls again.”
The report predicts that Bitcoin will try to break out, with a potential to reach $45,000 by the end of 2023, catalyzed by a ‘Santa Claus rally’.
At the time of writing, BTC was trading at $36,657.
Featured image from iStock, chart from TradingView.com