After a tumultuous 2022, bitcoin (btc) is poised for a notable resurgence in 2024, according to a consensus of industry experts. This in-depth analysis delves into the key factors driving this positive sentiment, including the long-awaited bitcoin-halving-4843769″ target=”_blank” rel=”nofollow”>bitcoin Halving Event, growing institutional adoption and the introduction of spot bitcoin exchange-traded funds (ETFs).
The Halving Event: A Catalyst for Shortages and Price Appreciation
The bitcoin halving event, scheduled for April 2024, represents a pivotal moment in the history of the cryptocurrency. This event, which occurs every four years, halves the block reward for miners, effectively decreasing the supply of new btc. This shortage, coupled with constant or increasing demand, has historically led to substantial price increases.
A retrospective analysis of previous halving events reveals the transformative impact on bitcoin's value. In the year following the 2012 halving, the price of btc skyrocketed by a staggering 10,000%, while the 2016 halving was followed by a notable 2,000% increase. These historical precedents provide a compelling basis for optimism regarding the potential of the next halving event to start a new bull run.
Institutional adoption: a surge of confidence and liquidity
bitcoin's growing institutional adoption represents another key driver of its bullish outlook. Institutional investors, recognizing the potential of cryptocurrency as a hedge against inflation and currency devaluation, are increasingly allocating funds to this emerging asset class.
This influx of institutional capital, coupled with the recent launch of spot bitcoin ETFs in the United States and Hong Kong, has significantly improved the accessibility and legitimacy of bitcoin as an investment vehicle.
Spot bitcoin ETFs, unlike their futures counterparts, allow institutional investors to directly buy and sell the actual cryptocurrency, eliminating the need for middlemen. This increased flexibility, combined with increasing regulatory clarity surrounding cryptocurrencies, is expected to attract even more institutional money into the market, further driving demand and price appreciation.
bitcoin currently trading at $48,204 on the daily chart: TradingView.com
bitcoin Price Predictions: Experts Weigh In
Prominent crypto analysts and market experts have offered their predictions on bitcoin's price trajectory in 2024. crypto Rover, a renowned market analyst, believes that bitcoin could embark on an uptrend if it breaks the $48,500 resistance level and reaches the Fibonacci of 0.618.
I believe #bitcoin will reach a new ATH in 2024.
– crypto Rover (@rovercrc) February 10, 2024
At the time of writing, bitcoin was trading at $48,234 they increased by 0.2% and 13.7% in the daily and weekly periods, Coingecko data shows.
Once bitcoin?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#bitcoin breaks the $48,500 mark, or rather the 0.618 Fibonacci level,
That will mark the official change in trend towards a bullish market. I'm following this level closely! pic.twitter.com/ne2SvugHRp
– crypto Rover (@rovercrc) February 10, 2024
TradingView Chart by crypto Rover
The CEO of analytics platform CryptoQuant, Ki Young Ju, predicts that by the end of the year, the price of one bitcoin could skyrocket to a staggering $112,000 per unit.
bitcoin?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow”>#bitcoin could reach $112,000 this year driven by ETF inflows, worst case $55,000.https://t.co/HrkV3TU8Ul pic.twitter.com/jBn6HWpt9b
– Ki Young Ju (@ki_young_ju) February 11, 2024
A year of transformation and growth
In light of the impending bitcoin halving event, rising institutional adoption, and the introduction of bitcoin spot ETFs, 2024 is emerging as a pivotal year for the cryptocurrency. While price predictions may vary, the overwhelming consensus among experts points to significant potential for growth and appreciation.
Featured image from Adobe Stock, TradingView chart
Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC's views on whether to buy, sell or hold investments, and investing naturally carries risks. It is recommended that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.
