Bitcoin Analyst Says King Crypto Will Cross $70,000 in 2024: 'ETF Juggernaut'

investment company analyst bernstein project a promising future into Bitcoin (Crypto: BTC), whose price has surpassed its all-time high of $69,000 and is expected to potentially reach $70,000 this year.

While the firm does not foresee a smooth and volatility-free rise, it does see Bitcoin's risk-reward balance becoming better in 2024.

what happened: Bernstein analysts Gautam Chughani and Mahika Sapura shared their insights in a note to investors: It will be sold at the current price for the remainder of 2024. ”

Following the launch of 10 Bitcoin spot exchange-traded funds (ETFs) in the United States on January 11, the price of Bitcoin briefly reached $49,000 and is currently trading around $42,600. There is.

Bernstein's report identifies a range of $42,000 to $43,000 as a strategic entry point, offering a “no-regret price with asymmetric upside.”

They predict that Bitcoin's value will increase by 65% ​​and reach the $70,000 level by the end of the year.

Also read: Ethereum ETF has 60% chance of launching in 2024, ETF expert says: Approval is 'path of least resistance'

why is it important: Analysts attribute their bullish stance to four key factors:

1. ETF inflows: Bernstein highlights the significant impact that ETF net inflows have on Bitcoin prices. There was an inflow of around 19,000 Bitcoins in the last week alone. “Giant ETF stocks will continue to be a source of price volatility,” analysts said, highlighting the impact of finite supply and rising demand on pricing.

2. Advisor network response: The firm notes that ETF issuers have received unprecedentedly rapid responses from their network of advisors regarding Bitcoin allocations to client portfolios, indicating a sustained source of demand for Bitcoin. There is.

3. Macroeconomic situation: The Fed's potential interest rate cuts, currently in the 5% to 5.25% range, could make savings less attractive and push investors toward riskier assets like Bitcoin, which tend to thrive in low interest rate environments. .

4. Election impact on SEC: A potential Republican victory in the US presidential election could lead to a change in SEC leadership and impact the dynamics of the crypto market. SEC Chairman Gary Gensler It has faced criticism for its strict approach to cryptocurrency regulation.

what's next: The research note also sees the growth of Bitcoin's on-chain ecosystem, including developments like Ordinals and Layer 2 solutions, as a positive indicator.

Read next: Bitcoin falls below $43,000.Monero Flares Among Top Losers

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