Analysts at Bernstein predict that Bitcoin (BTC) is poised to achieve a new record high in 2024, paving the way for a surge to as much as $150,000 in 2025. In a client note, the analysts anticipate a new crypto era characterized by unparalleled mainstream institutional adoption, driving capital from traditional markets to crypto.
The analysts highlight the favorable macroeconomic environment, with peak interest rates, declining inflation, and potential monetary stimulus in a major election year globally. They express confidence in Bitcoin and Bitcoin mining stocks, emphasizing the unprecedented nature of the current moment.
Anticipating leading asset managers to launch a Bitcoin ETF either this week or the next, the analysts caution against the ‘buy the rumor, sell the news’ scenario. Instead, they advise investors to focus on multiple bullish Bitcoin catalysts throughout the year, including halving, transaction fees inflection, and ETF marketing.
The potential for much larger-than-expected demand from corporate treasuries is identified as a catalyst for BTC prices to surge higher in 2024 and 2025. The analysts expect Bitcoin to touch all-time highs in the second half of 2024, reaching approximately $80,000 by year-end based on their marginal cost estimate. Their projection for 2025 remains at $150,000 as the cycle high.
Additionally, the analysts foresee mainstream institutional interest in crypto equities in 2024, with growing pressure on bears (given short interest) and equity investors seeking exposure to the crypto space.
In a noteworthy prediction, Bernstein analysts anticipate Ethereum (ETH) to be the only non-BTC asset to receive a spot ETF. They attribute this expectation to Ethereum’s growing fees, scaling roadmap, and sustainable token model, positioning ETH as the primary blockchain tech asset.
