BitcoinBTC has bounced back from a flash crash, helping the price of smaller coins ethereum, XRPXRP and solana recover as hype over a bitcoin spot exchange-traded fund (ETF) leak returns.
Subscribe now to Forbes’ CryptoAsset & Blockchain Advisor and “uncover blockchain blockbusters poised for 1,000% plus gains” ahead of next year’s historical bitcoin halving!
The bitcoin price added almost 10% since suddenly dropping to just over $40,000 per bitcoin yesterday as fears swept the market that the Securities and Exchange Commission (SEC) could be about to deliver a devastating blow.
Bitcoin’s rally comes as analysts at AllianceBernstein issue a huge bitcoin price prediction that could see the bitcoin market capitalization hit $1.5 trillion before the end of 2024.
Bitcoin’s historical halving that’s expected to cause crypto price chaos is just around the corner! Sign up now for the free CryptoCodex—A daily newsletter for traders, investors and the crypto-curious that will keep you ahead of the market
“We expect 2024 to be a breakout inflection year for crypto,” the AllianceBernstein analysts Gautam Chhugani and Mahika Sapra wrote in a Tuesday note seen by MarketWatch., predicting the bitcoin price will soar to $80,000 within 12 months.
“Bitcoin ETF flows build up could be gradual, but the applicants will be fighting hard to get a lead into this massive asset accumulation game, tuning up advertising and bitcoin branding leading to a snowball effect.”
Bitcoin and crypto markets have been set alight in recent weeks by soaring expectations the U.S. SEC could be about to green light a long-awaited bitcoin spot ETF following a BlackRock-led Wall Street push.
Sign up now for CryptoCodex—A free, daily newsletter for the crypto-curious
AllianceBernstein said that if approved, they expect bitcoin ETFs to see around $5 billion inflows in the first half of 2024, leading to inflows of around $10 billion in the second half. About 10% of bitcoin could be held under ETFs by 2028, the analysts predicted.
While the approval of a spot bitcoin ETF could trigger a “fairly brief and shallow selloff” in the short term, the analysts named bitcoin’s looming April 2024 halving— which will see the number of new bitcoin awarded to so-called miners who secure the bitcoin network cut by half—and fresh demand from companies following in MicroStrategy’sMSTR and Tesla’sTSLA footsteps as bolstering the bitcoin price.
“If the [spot bitcoin ETF] approval does come to pass, it will be a positive decision for the industry,” Adam Berker, senior legal counsel at payments infrastructure platform Mercuryo, said in emailed comments.
“Investing in crypto will become more accessible, causing an influx of funds into this market. There is a lot of interest towards this financial instrument, and it is clearly visible.”
Follow me on Twitter.
This news is republished from another source.
