Standard Chartered says bitcoin (BTC) is poised to reach $50,000 this year and an all-time high in 2024.
In a report dated July 10 cited by media outlets including Reuters, the banking giant announced a correction in the BTC price.
Standard Chartered vs 2023 BTC Price: $5,000 to $50,000
In the wake of a seismic shift in the institutional approach to bitcoin in the United States, the prevailing narrative regarding the largest cryptocurrency is rapidly changing.
Standard Chartered, which last year predicted that the price of BTC would drop to $5,000, now believes it will be 10 times higher by the end of the year.
The report by Geoff Kendrick, Head of Global Research and Chief Strategist, predicts that BTC/USD should reach $50,000 by 2023.
After that, bitcoin should rise to $120,000 by the end of next year.
Kendrick believes the reason for this is supply dynamics. As miners devote more and more resources to maintaining the network, they also sell less BTC, creating a supply-demand imbalance that will favor the bulls.
“The high profitability of miners on each BTC (Bitcoin) mined means they can sell short while maintaining cash flow, reducing the net BTC supply and driving up BTC prices,” the report said.
Standard Chartered is already active in crypto, with its crypto custody platform Zodia raising $36 million in a Series A funding round in April.
bitcoin pro sign of the times
A major bank predicting a bright future for BTC prices is just one example of what one analyst recently dubbed the “BlackRock effect”.
Related: ETF Approval Could Boost Bitcoin Liquidity, But It Won’t Be a Game Changer – JP Morgan
The ETF move, which has also been echoed by several major asset managers, has brought about a change in the way the mainstream media covers bitcoin.
According to Arthur Hayes, the former CEO of the exchange BitMEX, a continuous sequence of technological improvements around the world will in itself drive BTC to sky highs.
Artificial intelligence (AI) is especially on the radar, and Hayes believes it will choose bitcoin as the currency of choice because of its unique features.
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This article does not constitute investment advice or recommendations. Every investment and trading move involves risk and readers should do their own research when making decisions.
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