Is Bitcoin Aiming for $40,000?
Many analysts were feeling disappointed while Bitcoin was struggling in a range for more than four months. But the last two weeks have boosted the bullish sentiment and analysts have again started predicting new targets for Bitcoin. But at the same time, some analysts think that the bullish momentum is going to end soon and the price will start dropping as soon as a spot Bitcoin ETF is approved.
This may be disappointing for many investors because investors are expecting a strong bullish move after the approval of a spot Bitcoin ETF. The following Bitcoin news may provide a clear view of how Bitcoin’s price may perform over the coming days.
Bitcoin Investment Products Have Experienced a Significant Surge
Investors are feeling more confident about regulatory changes in the United States. That’s why Grayscale and ProShares have reported a significant rise in the demand for their Bitcoin investment products. Other reports also show that the Bitcoin investment products have received near-record weekly inflows.
ProShares Bitcoin Strategy ETF (BITO) has reported a trading volume of $1.7 billion whereas, Grayscale Bitcoin Trust (GBTC) has reported a volume of $800 million. The major reason for this increase is that investors are expecting approval of a Bitcoin spot ETF. At the same time, ARK Invest has reduced its GBTC holdings due to the increased share price.
Bitcoin’s Demand Reaches an All-Time High in Turkey and Nigeria
The national fiat currencies of Turkey and Nigeria are experiencing a significant decline due to economic instability. So, the demand for Bitcoin has drastically increased in these countries. The Turkish Lira and Nigerian Naira have experienced a massive decline against the US dollar.
The stats show that the Lira has experienced a 31% decline whereas Naira has experienced a 45% decline in the past six months. As a result, inflation has surged in both countries. Turkey has reported a 51% increase in inflation while Nigeria has reported a 25% increase. The local exchanges have reported that around $40 million worth of Bitcoin has been traded on these platforms within 24 hours.
Bitcoin Price Prediction by Robert Kiyosaki
Robert Kiyosaki, the author of “Rich Dad Poor Dad”, has been bullish about Bitcoin, gold, and silver for quite some time. He has recently predicted that Bitcoin is expected to reach a target of $135,000 after testing the $30,000 level. He has also predicted the $3700 level for gold and $68 for silver.
For a long time, Kiyosaki has been advising people to invest in these assets because he claims that the fiat currencies are “fake money”. Kiyosaki has a bullish sentiment about Bitcoin because he thinks it’s the future of finance. Some of his early projections are even more bullish. But it’s worth noting that Kiyosaki is providing a long-term price prediction of these assets. So, it may take months or even years to achieve those targets.
Bitcoin Price Update by Bernstein
Bernstein has predicted a target of $150,000 for Bitcoin by mid-2025. They’ve used the halving event to support their claim. Similarly, they’ve mentioned that more than 70% of Bitcoin holders haven’t sold their holdings for almost a year. The reduced selling may also lead to higher prices.
The demand for cryptocurrencies is also increasing due to the potential approval of the first spot Bitcoin ETF. The recent court victory of Grayscale has somehow softened SEC’s previous resistance to cryptocurrency. The analysts are also expecting a huge inflow of money after ETF approvals and after the halving event.
The overall dynamics of the crypto market will change after the halving event because the less efficient miners won’t be able to survive this shift.
Invesco Galaxy Bitcoin ETF Listed on DTCC
The Invesco Galaxy Bitcoin ETF has also been listed on the DTCC website along with BTCO. Although some investors consider it a step forward in the progress of these ETFs, it’s worth noting that it doesn’t guarantee the ETF approval. It’s a standard procedure that the website follows for the ETFs that are awaiting approval.
Why Investors Think That Bitcoin is Starting the Next Bull Run
The April 2024 Bitcoin halving is the leading factor that supports the bullish sentiment because historical price patterns are in its favor. As the next halving is getting closer, more analysts are predicting that Bitcoin may surpass $100,000. The on-chain analytics show that major players are focused on accumulating Bitcoin.
Similarly, the approval of Bitcoin ETFs may also trigger massive price moves because it will bring more institutional investors to the crypto market.
Bitcoin Weekly Technical Analysis
It was highlighted last week that $34,500 to $48,200 is really important for Bitcoin. Bitcoin has been struggling a bit since it entered this range. The price may continue struggling in this range for a few more weeks before it can set the next direction. The higher chances are that the price may start reversing from this range.
Even though investors are confident about the positive effects of ETFs, the price may decline for some time before showing the real effect of the ETF approval.
Conclusion
Bitcoin’s recent resurgence in bullish sentiment has sparked renewed optimism among investors and analysts. The growing demand for Bitcoin investment products, particularly in the United States, along with the economic instability in countries like Turkey and Nigeria, has provided strong support for the cryptocurrency. Influential figures like Robert Kiyosaki and Bernstein have made bullish price predictions, while the upcoming April 2024 Bitcoin halving and potential approval of Bitcoin ETFs continue to fuel optimism.
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