As an analyst with over two decades of experience in financial markets and a keen interest in digital assets, I find myself increasingly optimistic about Bitcoin’s future trajectory. The recent surge to its highest level since July, coupled with the bullish sentiments from experts like Geoff Kendrick at Standard Chartered, paints a compelling picture for investors.
In recent times, Bitcoin has displayed robust growth, hitting its highest point since July, momentarily peaking at $67,900 and rebounding by 7%. This spike occurred after a decline to $58,900 towards the end of last week, adding more excitement among investors who are hopeful that Bitcoin may scale new heights before the year ends, based on its bullish prospects.
According to a study by the multinational bank, Standard Chartered, it appears that the positive forecast could come true ahead of schedule.
Key Factors Behind BTC’s Price Surge
According to Geoff Kendrick, who leads digital asset research at Standard Chartered, it’s predicted that the value of Bitcoin might reach an astounding $73,800 prior to the U.S. presidential election on November 5th. This forecast suggests a 10% surge from its current price levels.
Specifically, MicroStrategy, a major public Bitcoin holder, has significantly expanded its BTC reserves to approximately 252,000 coins. This strategic move is driven largely by the forward-thinking perspective of its co-founder, Michael Saylor, who is widely known as a strong advocate for Bitcoin.
Previously, MicroStrategy’s stock price movements were similar to those of Bitcoin. Yet, according to Kendrick, MicroStrategy’s shares have lately surpassed Bitcoin in performance, indicating a potential growing value that might boost Bitcoin prices in the near future.
A significant factor contributing to this optimistic perspective involves two crucial elements. Firstly, the announcement made by Bitcoinist last month about BNY Mellon being granted an exception from SAB 121, a rule mandating financial institutions to record cryptocurrencies in their financial statements.
Kendrick points out that easing regulations on Bitcoin can be interpreted as a good sign by the larger crypto market, possibly leading to increased institutional investment, which could further fuel the upward trend observed in recent times.
In simpler terms, the second point indicates that MicroStrategy plans to transform into a “Bitcoin banking institution,” meaning they intend to provide various financial products related to Bitcoin. According to Kendrick, potential future exceptions might allow the company to earn interest by loaning out their Bitcoin assets.
According to the analyst, since the digital asset market becomes more accepted and user-friendly, MicroStrategy’s worth is expected to grow, which could positively impact Bitcoin’s value in the long run.
Both Presidential Candidates Could Boost Bitcoin price
As a researcher examining the upcoming presidential election, I find myself prioritizing the underlying factors over the election’s outcome itself. I firmly believe that the expansion and mainstream adoption of the digital asset ecosystem will continue, regardless of whether Donald Trump or Kamala Harris takes office.
Previously, Kendrick expressed the viewpoint that a Trump administration might offer the most favorable circumstances for Bitcoin, given potential supportive policies like setting up a national Bitcoin reserve. However, he now believes that either candidate could have long-term positive effects on the digital asset.
To put it simply, financial analyst Kendrick predicts that if Donald Trump gets re-elected as president, the value of Bitcoin might reach a staggering $125,000 by the year 2024’s conclusion.
Currently, Bitcoin is being traded at around $67,000. It has managed to maintain a 2% increase within the last 24 hours, even though it briefly dipped and didn’t quite reach $68,000.
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2024-10-15 22:52