Institutional interest in Bitcoin continues to surge, with a fresh analysis predicting a significant price surge for the leading cryptocurrency. According to Ki Young Ju, the CEO of analytics platform CryptoQuant, Bitcoin could reach an astonishing $112,000 per unit by the end of this year.
The analysis takes into account the recent launch of the United States’ first spot Bitcoin exchange-traded funds (ETFs), which have paved the way for institutional capital to flood the market.
#Bitcoin could reach $112K this year driven by ETF inflows, worst-case $55K.https://t.co/HrkV3TU8Ul pic.twitter.com/jBn6HWpt9b
— Ki Young Ju (@ki_young_ju) February 11, 2024
Will Bitcoin Hit $112,000 In 2024?
CryptoQuant’s Ki believes that the combined inflows from these ETFs could have a substantial impact on the top coin’s realized market capitalization. The data suggests that the ETFs’ inflows could add a staggering $114 billion to the existing $451 billion market cap, resulting in a potential market cap of $565 billion.
“Bitcoin market has seen $9.5 billion in spot ETF inflows per month, potentially boosting the realized cap by $114 billion yearly. Even with outflows from the Grayscale BTC Trust (GBTC), a $76 billion rise could elevate the realized cap from $451 billion to $527-565 billion,” commented Ki.
Spot ETF holdings, BTC realized cap. Source: Ki Young Ju/X
The post also highlights the declining outflows from the Grayscale Bitcoin Trust (GBTC), which have significantly decreased since the ETFs’ introduction. The GBTC was a popular investment vehicle for institutional investors before the spot ETFs became available.
At the time of writing, BTC was trading at $48,108, down 0.3% in the last 24 hours, but still sustained a 13.7% increase in the last seven days, data from Coingecko shows.
BTC Price Surge: Potential Six-Figure Territory
In addition to Ki’s predictions, experts are suggesting that the alpha crypto’s price could surge even before the anticipated block subsidy halving in April. Adam Back, CEO of Bitcoin technology firm Blockstream and a well-known cryptocurrency developer, believes that BTC could hit new all-time highs or even surpass the six-figure mark sooner than expected.
1st oct 2021 #bitcoin crossed $47k like yesterday, then on it’s way to the $69k ATH. that run-up took 41 days. there are 70 days to the halving. just another data point for what it looks like, and how we may yet get a new ATH or even $100k before the halvening. pic.twitter.com/jmtQIHcenR
— Adam Back (@adam3us) February 10, 2024
“Bitcoin crossed $47,000 on October 1, 2021, and then went on to reach its all-time high of $69,000. That run-up took 41 days. With 70 days remaining until the halving, it’s another data point indicating that we may witness a new ATH or even $100,000 before the halving,” stated Back.
BTCUSD currently trading at $48,306 on the daily chart: TradingView.com
These bullish predictions for Bitcoin’s price in 2024 highlight the growing confidence among analysts and industry figures. However, it’s essential to approach these forecasts with caution, as the cryptocurrency market is known for its volatility and unpredictability.
Bitcoin’s price trajectory will likely be influenced by numerous factors, including market sentiment, regulatory developments, and overall market conditions. Investors and enthusiasts eagerly await further developments to see if these predictions become a reality, as Bitcoin continues to captivate the financial world with its potential for significant value appreciation.
Featured image from Adobe Stock, chart from TradingView