The post Top Analysts Say Bitcoin Halving and Spot ETF Hype Will Help Reach BTC $160K Mark in 2024 appeared first on Coinpedia Fintech News
Excitement is building in the world of Bitcoin as it gears up for its next big event in April 2024 – the halving. Historically, when this happens, Bitcoin’s price tends to go up a lot. And this time experts are predicting that Bitcoin could reach around $160,000.
On-chain Metrics Signal Bullish Trends
On-chain analysis firm CryptoQuant suggests that a convergence of factors, including the market valuation cycle, network activity, the Bitcoin halving, macroeconomic perspectives, spot ETF approval, and growing stablecoin liquidity, could contribute to a positive year for Bitcoin in 2024.
The analysts at CryptoQuant highlight that on-chain valuation and network metrics indicate Bitcoin is well within a bull market. They set a medium-term target of $54,000 and suggest a cycle price top of $160,000.
Bitcoin’s historical rallies following halving events, where the supply of new coins decreases automatically, are influencing current market sentiment as the next halving approaches in April 2024.
Spot ETF Anticipation
In a potentially groundbreaking move, major financial players like BlackRock and VanEck are in discussions with the U.S. Securities and Exchange Commission (SEC) for the approval of spot Bitcoin ETFs.
If greenlit, this development is seen as a watershed moment comparable to the introduction of the S&P 500 ETF.
Fed’s Influence: Lower Rates,
Traders are also eyeing potential positive impacts from the U.S. Federal Reserve potentially lowering interest rates in 2024. Lower rates historically prompt investors to make substantial bets on riskier assets, including cryptocurrencies.
While the outlook remains positive, CryptoQuant’s report cautions about potential short-term price corrections. Investors holding significant unrealized gains pose a risk, requiring vigilance in the coming months.
Despite short-term uncertainties, Bitcoin has showcased an impressive year-to-date rally exceeding 180%, providing a glimpse into potential further gains as it approaches the New Year.