Bernstein Sets $150,000 Post-Halving Bitcoin Price Target

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According to Bernstein’s research team, who are well-known in the industry, they are confident that Bitcoin‘s price will reach an astounding $150,000 following the upcoming halving event. After this significant event takes place, they anticipate that Bitcoin will continue its upward trend, once any potential disruptions from the event have passed and the mining process has stabilized.

Before the end of 2025, it is anticipated that the predicted Bitcoin price will be reachable. However, it’s important to remember that Bitcoin halvings typically result in price instability. Historically, these events have triggered substantial Bitcoin bull markets as they alter market conditions. Miners’ increased supply could potentially cause selling pressure, but ultimately leads to higher Bitcoin prices each cycle.

Historically speaking, the price of bitcoin has tended to surge after the halving event. Sometimes this price increase occurs just a few months following the halving. (Gautam Chhugani and Mahika Sapra, Bernstein analysts)

Spot Bitcoin ETF Inflows Drop

Chhugani and Sapra admitted that significant investments in Bitcoin ETFs likely continued after the halving event, despite recent market instability.

Recently, Fidelity Investment’s FBTC, one of the highest-performing Bitcoin spot ETFs since its debut, experienced zero new investments. This marked an end to the uninterrupted 63-day streak where the fund had attracted inflows for over two months.

Approximately a week ago, the amount of cryptocurrency flowing into accounts decreased to $646 million due to a decline in institutional investors’ appetite for Bitcoin Exchange-Traded Funds (ETFs). This decrease in interest towards spot Bitcoin ETFs was thought to be caused by a substantial drop in Bitcoin’s price.

During this period, the Bitcoin price fell to approximately $67,000 – a significant decrease from its all-time high of $73,750 that it had reached earlier.

In addition, the incorporation of spot Bitcoin ETFs into wirehouses and RIAs is predicted to drive ongoing demand for Bitcoin, according to Chhugani and Sapra’s perspective. They believe Bitcoin will reach a peak price of $150,000 by 2025.

Bitcoin Price Catalysts Outlined

The views of these analysts echo Eric Balchunas’ earlier perspective, expressed in an interview where he described the launch of spot Bitcoin ETFs on major brokerage platforms as equivalent to stocking a product in a supermarket like Whole Foods or a large grocery store. This increased visibility and accessibility can only boost adoption.

A Bloomberg analyst predicts that Bitcoin ETFs traded on the spot market will soon become available on major financial institutions with up to $10 trillion in assets.

A potential factor that may significantly impact Bitcoin ETFs’ performance is the introduction of options trading for this novel asset class. Although there’s optimism regarding the SEC’s decision, they are still considering the issue carefully.

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2024-04-17 18:37