According to CoinDesk: In a report released on Monday, Bernstein forecasted a bright future for bitcoin (BTC), the world's largest cryptocurrency. They predict that bitcoin will emerge as a significant global macropolitical asset by 2024, leading its market cap to quadruple to over $3 trillion by 2025.
Bernstein's analysis indicates that bitcoin's fundamentals have never appeared stronger. They highlighted that 70% of the outstanding supply remained untraded in the past year—an unmatched record in bitcoin's history. Analysts led by Gautam Chhugani pointed out such churn rates are rare for a financial asset, notably one known for dramatic moves driven by a supply squeeze.
The bitcoin halving, likely to occur in April or May next year, is another positive trigger. The halving is anticipated to lessen the monthly selling pressure from miners to under $500 million, contrasted with around $1 billion at the current bitcoin price of $37,000.
Further, the researchers noted advantageous accounting practices emerging from new Financial Accounting Standards Board (FASB) guidelines. These guidelines will allow firms to record mark-to-market gains on bitcoin inventory, potentially creating an incentive for corporations to hold bitcoin as a treasury asset.
Moreover, the probable approval of a U.S.-listed spot bitcoin exchange-traded-fund (ETF) in early 2024 would improve accessibility to bitcoin for companies and retail investors, thus generating further demand. The report also enumerated bitcoin's emerging status as a "debasement hedge" amid a potential early-2024 economic slowdown and consequent inflation adjustments.
In light of these factors, Bernstein's analysis suggests a substantial growth trajectory for bitcoin in the coming years.
