Bitcoin Price: Bernstein Analysts Reiterate Their $150K Bet

by

As a seasoned crypto investor with a few years of experience under my belt, I’m always keeping an eye on the price movements of Bitcoin (BTC) and the broader cryptocurrency market. The recent fluctuations in Bitcoin’s price have been intriguing, to say the least. After hitting an all-time high of over $73,000 in March, we’ve seen a significant retracement, with the coin trading at around $65,214 at the time of writing.

As a crypto investor, I’m excitedly observing the buzz around Bitcoin (BTC) reaching a new record-breaking All-Time High (ATH) soon.

As a researcher studying the cryptocurrency market, I’ve observed that Bitcoin’s price took a notable dip in the recent past after reaching an all-time high of over $73,000 in March. Currently, Bitcoin is being traded at approximately $65,214.61 based on data from CoinMarketCap, representing a 2.57% growth within the last 24 hours.

Bitcoin Price Is Far from Done

Analysts at Bernstein have remained confident in their estimate that Bitcoin’s price could reach $150,000 during this market cycle. Gautam Chhugani and Mahika Sapra, two analysts from the firm, have elaborated on their reasons for maintaining this forecast.

The two analysts expressed their confidence in that call being a good decision, as evidenced by Bitcoin’s strong performance indicators. This positive trend is ongoing and still developing, offering an enticing risk-reward scenario.

Around the middle of April, analysts Chhugani and Sapra from Bernstein expressed their confident expectation that Bitcoin’s price could reach $150,000. This forecast was made just prior to the halving event. They reasoned that the Bitcoin halving – which involved reducing the reward for mining new blocks – and the subsequent stabilization of the mining hash rate were necessary steps for Bitcoin to continue its upward trend.

It is expected that this projected Bitcoin price target will be achieved before the end of 2025.

For two weeks now, the price of Bitcoin has not experienced a substantial increase following the halving. Instead, it has exhibited noticeable downtrends and dipped below the $60,000 mark. According to Bernstein analysts, this recent correction down to approximately $57,000 served to eliminate excessive leverage on Bitcoin futures contracts traded on cryptocurrency exchanges.

Spot Bitcoin ETFs Reverse Course to Register Inflows

Chhugani and Sapra highlighted the recent shift in trend for Bitcoin spot ETFs, which had been experiencing net redemptions for several days prior. However, following eight consecutive days of outflows, these SEC-approved products have begun attracting new investments once more.

Recently, Grayscale’s GBTC saw net inflows amounting to $63 million on Friday, marking a notable shift after nearly 80 consecutive days of substantial outflows. Analysts noted that this development is noteworthy as GBTC has served as a significant seller in the market, with recently launched ETFs picking up the slack.

The shift in this ETF’s trend adds weight to Bernstein analysts’ belief that the decrease in Bitcoin ETF investments is merely a brief interruption. Chhugani and Sapra are even more confident that a surge in total spot Bitcoin ETF contributions could play a pivotal role in lifting Bitcoin’s price up to the projected $150,000 mark. This belief aligns with Bloomberg senior ETF analyst Eric Balchunas’ perspective as well.

According to Balchunas, making spot Bitcoin ETFs readily available on major wirehouse platforms is comparable to placing a product on the shelves of Whole Foods or a large supermarket. This level of accessibility and visibility will undoubtedly contribute to growth in interest and adoption.

As a researcher exploring the potential factors influencing the price trend of Bitcoin, I’ve come across several intriguing catalysts suggested by industry analysts. Among them are:

Read More

2024-05-06 15:31