According to the major British bank Standard Chartered, the bitcoin price can reach great heights in 2024. But the BTC price could also rise considerably this year, thus Standard Chartered’s FX Analyst Geoff Kendrick.
Bitcoin dominance is rising
Already in April this year, analysts from the bank shared a striking bitcoin price forecast. According to Kendrick, BTC could reach a price of $100,000 in 2024.
At the time, the banking crisis was cited, among other things. Kendrick also predicted that bitcoin’s dominance would rise back to the 50% to 60% range.
At least that prediction came true. Bitcoin dominance hangs at 50% at the time of writing.
Bitcoin price forecast revised upwards
The Reuters article now shows that Standard Chartered has revised its bitcoin price expectation from $100,000 upwards. Now the analyst of the bank expects that bitcoin can reach a price of $ 120,000 in 2024.
One of the causes would be the increasing profitability of bitcoin mining. Kendrick explains:
“The increased miner profitability per BTC (bitcoin) mined means that they have to sell less without negative cash flows as a result. This reduces the net BTC supply which pushes the BTC price up.”
The report also states that the bitcoin price can rise significantly this year. By the end of 2023, the counter could already be at $50,000, according to the analyst.
Will 2024 be the year for BTC?
Many analysts look to 2024 when it comes to bitcoin price expectations. This is mainly due to the fact that the next bitcoin halving will take place in that year.
This automatic mechanism halves the rewards for bitcoin miners with the aim of keeping BTC inflation in check. This means that fewer bitcoins are in circulation, which in principle increases the price, provided that the demand from the market remains at least the same, of course.
Ultimately, no one knows for sure what effect the halving will have on the price. At least three possible price scenarios can be read here.