“Bitcoin could rise to $120,000 by the end of 2024,” Standard Chartered Bank revised forecast upwards


bitcoin price prediction

British financial giant Standard Chartered Bank announced on the 10th that the price of the crypto asset (virtual currency) Bitcoin (BTC) will reach $50,000 by the end of 2023 and $120,000 by the end of 2024. yen) is expected.

This forecast was reported by overseas media that obtained the bank’s information. In April, he predicted that the stock could rise to $100,000 by the end of 2024, but he said he was too cautious last time and raised his $20,000 forecast this time. Bitcoin is trading near $30,800 at the time of this writing (see Coinbase).

connection: “Bitcoin could rise to $ 100,000 at the end of 24” Analysis by Standard Chartered Bank

It seems that the forecast for the end of 23 was not included in the April forecast. At that time, the bank cited the following factors as the basis for the price increase.

  • Increase in the value of Bitcoin due to financial instability in the United States and Europe
  • Bitcoin dominance rise (to 50-60%)
  • Increased profit for miners
  • Stabilization of risk assets as the end of US interest rate hikes approaches
  • Half-life (scheduled for April 2024)
  • Regulatory development, capital inflows from institutional investors, decrease in transaction volume

What is a miner

Refers to a person or organization that conducts mining. Mining is the process of verifying and approving cryptocurrency transactions by performing massive calculations on a computer. In return for mining, miners are rewarded with newly issued cryptocurrencies.

▶Cryptocurrency Glossary

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The factor highlighted in this forecast is the increase in miner profits. He expected miners to sell less newly mined bitcoins as the price of bitcoin rises and profits for miners increase.

Miners play a large role in the net supply of Bitcoin, and we believe that sustained inflows and reduced supply will lead to higher prices.

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In addition, although it does not seem to be covered in this price forecast report, it is believed that the soaring transaction fees (mining fees) due to Bitcoin Ordinals and BRC-20 tokens are also leading to improved miner earnings.

miner sales volume

Standard Chartered Bank seems to have spoken directly to the miners. On top of that, there are three ways for miners to secure cash:

  • sell bitcoin
  • sell shares
  • borrow money

He said miners see stock prices as low and interest rates as high. From this point of view, selling Bitcoin is currently the best way to secure cash. However, he claims that this will change as the price of Bitcoin rises.

According to the bank, the 12 largest miners (20% of the world’s miners) sold 106% of newly mined bitcoins in the first quarter of 2023 (January to March). On the other hand, 2Q (April to June) is expected to be below 100%, and it is expected that the sales volume will decrease and the supply volume will continue to decrease, leading to further price increases.

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As the percentage of this sale will drop from 20% to 30%, we predict that the price of Bitcoin will rise to around $50,000 by the end of 2023. Recently, it has been pointed out that actual demand sales by miners are on the rise.

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