London, July 22: Bitcoin could reach $120,000 each by the end of 2024, the Standard Chartered Bank(SCB) said in a report issued on July 10, 2023.
“The recent jump in Bitcoin’s price could encourage miners to hoard more of the supply, which would reduce the net supply of Bitcoin in the marketplace and push prices higher” the forecast authored by Geoff Kendrick, a senior FX strategist at Standard Chartered said. See the original story here. 1
The report said that the increasing adoption of Bitcoin by institutional investors could also help to drive prices higher.
“Institutional investors are starting to see Bitcoin as a legitimate investment, and that this could lead to increased demand for Bitcoin in the future,” the statement said.
Bitcoin (BTC) is the world’s largest cryptocurrency by market value. The British multinational bank increased its bet from its own April forecast of $100,000. 2
Course correction
However, in a statement published in November 2022, the SCB said that they believed Bitcoin would drop in value in the months ahead. The November statement said that Bitcoin’s price prevailing at that time was unsustainable and that the price was likely to fall back to around $30,000.
The November 2022 statement cited several factors for its forecast, including the increasing regulation of Bitcoin by Governments around the world, the lack of institutional adoption of Bitcoin, and the volatility of the cryptocurrency market. Nevertheless, it seems that SCB has updated and reviewed its forecasts and now forecasts that Bitcoin would touch the end of 2024.
Last week Bitcoin was trading at around $20,000, significantly lower than the $50,000 that Standard Chartered forecasted in 2022. 3
Standard Chartered’s forecast needs to be read with the understanding that cryptocurrency markets are highly volatile and extremely unpredictable.
- SCB: Standard Chartered boosts 2024 bitcoin forecast to $120,000 | Reuters[↩]
- Reuters:https://www.reuters.com/markets/us/bitcoin-could-hit-100000-by-end-2024-standard-chartered-says-2023-04-24/[↩]
- ft.com: https://www.ft.com/content/97b5a774-d817-4d3b-82b2-6bbe22c3d59b[↩]
