- Standard Chartered Bank revised their Bitcoin price forecast to $150,000 by end of 2024, up from previous prediction of $100,000
- Forecast based on analogy to gold prices after gold ETF approval, estimating Bitcoin should be 20% of portfolio allocation
- Prediction factors in Bitcoin halving event in 2024 and spot Bitcoin ETF approvals driving sharper gains, though volatility remains a concern
A revised forecast from Standard Chartered Bank predicts that the price of Bitcoin (BTC) could hit $150,000 by the end of 2024. This is a significant increase from their previous prediction of $100,000 made in November 2021.
Bullish Bitcoin Price Predictions
Standard Chartered analysts led by Geoffrey Kendrick made the updated prediction in an investor note on Monday. They now expect the Bitcoin price to reach $150,000 in 2024 and potentially $200,000 in 2025 if spot Bitcoin ETF inflows remain strong.
The analysts attribute the sharper-than-expected Bitcoin price gains this year partly to the impending Bitcoin halving event in 2024. They also cite the recent approval of 11 spot Bitcoin ETFs as a contributing factor to Bitcoin’s rise in 2022, which saw it reach an all-time high of $73,000.
Basis for the Forecast
Standard Chartered bases its forecast on an analogy with gold prices after the approval of gold ETFs in the early 2000s. They estimate that for portfolio optimization, Bitcoin should make up 20% compared to 80% for gold. With gold prices steady, Bitcoin would need to rise to $190,000 for its share to reach 20%.
The bank sees strong potential for Bitcoin based on its growing adoption as an investable asset. While volatility remains a concern, Standard Chartered expects Bitcoin to continue appreciating as more institutions invest in it.
Conclusion
Standard Chartered joins other major financial institutions in making bullish predictions on Bitcoin as it gains more mainstream recognition. However, investors should still exercise caution and conduct thorough research before investing in this highly volatile asset class.
