The Benchmark Company analyst Mark Plamer expects Bitcoin’s price to hit $150,000 by the end of 2025.
Palmer’s comments came via an April 8 investor note, in which he raised his price target for MicroStrategy (MSTR) to $1,875, almost doubling from his previous target of $990.
Palmer’s optimism about MSTR is based on the company’s Bitcoin holdings. The analyst expects the flagship cryptocurrency to hit a price of “$150,000 by 2025.” He noted that MicroStrategy’s massive Bitcoin holdings will greatly benefit from the upcoming halving event, as the supply of Bitcoin will be reduced to half.
The $150,000 price target for Bitcoin is also higher than Palmer’s Feb. 27 prediction that the price would touch $125,000. Following this analysis, BTC rallied approximately 27%, leading to the analyst’s higher price target.
In a subsequent interview with Yahoo Finance, the Benchmark analyst highlighted the historical impact of the halving event on BTC prices. He noted that Bitcoin halvings in 2012, 2016, and 2020 were followed by significant price appreciations due to the supply shock they created.
He went on to add that the upcoming halving could mimic a similar scenario. The impact could also be further intensified by the shock in demand, which analysts expect to be created by the spot Bitcoin ETF products. Palmer expects the demand for these ETF products to catapult further as more institutions enter the scene.
Another factor Plamer has considered in his prediction for the MSTR stocks target is the company’s tendency to strategically accumulate Bitcoin.
The firm, under the leadership of Michael Saylor, has been accumulating Bitcoin at an average price of $35,160. According to saylortracker, MicroStrategy holds 214,245 Bitcoins as of April 9.
Palmer expects this trend to continue, highlighting that the company has increased its Bitcoin holdings for 15 consecutive quarters. The analyst expects Saylor’s firm to hold approximately 298,246 Bitcoins by year-end 2025, a 40% increase from current holdings.
The company is expected to do this using funds from capital raises and excess cash from its enterprise software business.
Several analysts are touting the post-halving scenario as a bullish period for Bitcoin. Palmer’s sentiments over Bitcoin were also echoed by Skybridge Capital founder Anthony Scaramucci, who expects the flagship crypto to hit at least $170,000 within the 18-month post-halving cycle.
Similarly, analysts at crypto exchange Bitfinex also reported a price target for BTC between $150,000-169,000. However, analysts noted that this halving is different from the previous one’s because BTC had already hit an all time high prior to the event.
