Standard Chartered expects Bitcoin (BTC) to reach $50,000 by late 2023 and $120,000 in 2024 due to increased miner accumulation.
Standard Chartered Bank has changed its previous forecast for Bitcoin’s price. Instead of predicting $100,000 by the end of 2024, the bank now expects Bitcoin to reach $50,000 by the end of this year and surpass $120,000 by next year. The bank’s analysts believe that this upward trend is due to miners accumulating more Bitcoin.
Standard Chartered increases Bitcoin price forecasts to $120K:
Standard Chartered Bank, with an $800 billion prediction, suggests that Bitcoin could reach $50,000 this year and $120,000 by the end of 2024. The bank believes that as Bitcoin prices rise, it may motivate miners to hold onto more Bitcoin.
In April, Standard Chartered made a forecast stating that the “crypto winter” had ended and predicted that Bitcoin’s price would reach $100,000 by the end of 2024. However, the bank’s chief foreign exchange analyst, Geoff Kendrick, now believes that there is a 20% potential increase in the earlier prediction. This is attributed to the fact that Bitcoin miners are holding onto more BTCs.
Kendrick explained that as mining Bitcoin becomes more profitable, miners can sell less while still earning money, which leads to a decrease in the overall supply of Bitcoin. This reduction in supply contributes to an increase in Bitcoin’s price.
Crypto assets, including Bitcoin, have seen a positive trend recently, with inflows observed for three consecutive weeks. This, along with the monthly Moving Average Convergence Divergence (MACD) turning green, suggests a favorable outlook for Bitcoin’s price. Last week, there was a net inflow of $136 million into investment products related to crypto assets.
Currently, the price of Bitcoin stands at $30,193, remaining relatively stable over the past 24 hours. The lowest and highest points during this period were $29,985 and $30,427, respectively. However, there has been a notable 30% increase in trading volume over the past day, indicating heightened interest and activity among traders.
Bitcoin’s Hash Rate Reaches All-Time High:
As miners get ready to hold more Bitcoin, the difficulty of Bitcoin mining remains high. Glassnode, an on-chain data platform, has reported that the Bitcoin Hash Rate (7-day moving average) is steadily increasing and has reached a new all-time high of 395 EH/s. This means that there are approximately 395 quintillion attempts made every second to solve a block in the Bitcoin network.
Bitcoin Hash Rate. Source: Glassnode
The United States is the leading country for cryptocurrency and Bitcoin mining worldwide. Although Bitcoin mining consumes a significant amount of electricity, there is a growing trend of shifting towards renewable energy sources. This switch to renewables, such as harnessing methane gas emissions, presents opportunities for addressing climate change concerns.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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