Bitcoin (BTC) is poised for a stunning close by 2024, according to industry heavyweight Mike Novogratz. at recent days Interview with Bloomberg, Galaxy Digital's CEO expects prices to rise to $100,000 by the end of the year, driven by a combination of factors.
Breaking Barriers: Threshold of $73,000
Novogratz's prediction is based on a crucial price point — $73,000. He believes that crossing this resistance level in the coming weeks could lead to a domino effect Bitcoin Towards the desired six-figure mark. His thinking is based on the concept of “market ranges,” suggesting that once the top cryptocurrency establishes a foothold above $70,000, psychological factors could push it into the $100,000 region.
Novogratz said:
“If we take $73,000 in the next two weeks or so, we will end the year at $100,000 or higher.”
While Novogratz's forecast paints a rosy picture for Bitcoin, it is important to acknowledge the inherent volatility of the cryptocurrency market. Unexpected events or market corrections can quickly derail even the most optimistic forecasts. Additionally, the regulatory landscape remains volatile, and the ultimate fate of bills like FIT21 has yet to be determined.
BTCUSD trading at $70,935 on the weekly chart: TradingView.com
The FIT21 bill, also known as the Financial Innovation and Technology for the 21st Century Act, aims to create a regulatory framework for cryptocurrency assets in the United States. The bill proposes to position the Commodity Futures Trading Commission (CFTC) as the primary regulator for BTC and other cryptocurrencies considered commodities.
This approach will provide much-needed clarity to companies operating in the cryptocurrency space. However, the bill faces obstacles. You will need to navigate the Senate, which has a different political makeup than the House.
The rise of Bitcoin: the law of balance
The coming months will be a critical test for Bitcoin. Can it break the $73,000 barrier and maintain its momentum towards $100,000? Will institutional appetite for ETFs continue to rise? More importantly, will the regulatory environment evolve to foster innovation and promote stability at the same time? The answer to these questions will determine whether the digital asset will rise to new heights or face a reality test.
Institutional investors are flocking to Bitcoin via ETFs
Meanwhile, the main driver behind Novogratz's optimism is the recent launch of spot bitcoin ETFs. These exchange-traded funds allow institutional investors to gain exposure to Bitcoin without the complexities of holding the cryptocurrency directly.
This new accessibility has sparked a buying frenzy, with Novogratz citing inflows of about $60 billion into these funds. This surge in institutional demand has clearly pushed the price higher, reinforcing the bullish sentiment.
Featured image from Finshots, chart from TradingView