As a seasoned analyst with over two decades of experience in the financial markets, I must admit that the current trajectory of Bitcoin in 2024 has me both excited and apprehensive. The potential for BTC to touch $100K by year-end is indeed tantalizing, but it’s also a path fraught with uncertainties.
Isn’t it surprising to think about it? We’re now nine months into the year 2024, with just Q4 remaining, and the possibility of Bitcoin reaching $100,000 is already being shown on various charts.
2024 saw quite the ups and downs in Bitcoin’s journey. On one hand, there were numerous elements propelling its impressive surge, but on the other, there were occurrences seeking to slow or even halt its progress.
As we approach the U.S. presidential election on November 3rd, the notion that Bitcoin might reach a value of $100,000 USD no longer seems far-fetched. Market participants are honing their skills and investors are growing tense as Bitcoin hovers around the resistance level of approximately $55,000.
In this piece, we’ll follow Bitcoin’s path throughout the first, second, and third quarters of 2024, examining how significant events influenced its remarkable rise. We’ll also tackle the intriguing query: could Bitcoin reach $100K by the end of 2024?
Why was 2024 good for BTC?
Following a lengthy period of crypto downturn due to economic recession, high inflation rates, and the Russia-Ukraine conflict, Bitcoin took a hit and struggled to recover for some time. However, a significant turnaround occurred in early 2024 as it began surging towards $60K.
After the SEC’s approval of Bitcoin spot ETFs in March, there was a significant surge in Bitcoin’s value. The cryptocurrency quickly reached a record-breaking high of $73,737. This triggered discussions about an imminent bullish rally, but unfortunately, it didn’t materialize. Instead, we’ve entered a period of relatively stable pricing for Bitcoin.
Wide Adoption of BTC fuels its growth
2024 sees Bitcoin extending its reach beyond just cryptocurrencies. It’s becoming a popular choice for sports bets on major events, holding a significant position at leading crypto sports betting platforms. Its usage is also prevalent in online casinos and has evolved into an almost ideal solution for gambling transactions. With its rapid deposit and withdrawal capabilities from crypto sports betting sites, many industry experts predict that it will significantly transform the online gambling landscape.
Yet, this implies that it needs to expand to the sizes predicted by some, a development that hasn’t materialized yet. Since reaching its latest peak in early March and setting a new all-time high, Bitcoin has faced difficulties. The anticipated bullish surge did not occur, and for months now, it has been unsuccessful in breaking past the $60K threshold.
Is Halving to Blame for Bitcoin’s Growth Halt?
In April 2024, Bitcoin experienced a halving – a technical process happening every four years that lowers the amount of Bitcoin earned for mining new blocks from 6.25 to 3.125 Bitcoin. Typically, this event leads to an increase in price before it levels off. Afterward, there was a brief dip in price, similar to what occurred this year as well. However, the expected recovery hasn’t materialized yet.
It seems that this year’s halving cycle is showing less strength compared to previous ones. Various political influences, the craze surrounding AI, regulatory hurdles, and global economic factors have significantly impacted Bitcoin’s behavior. We’ve found ourselves in a price trend hovering around $60,000 for some time now, and certain analysts predict this could persist for the near future.
Some individuals hold a more optimistic viewpoint. Cryptocurrency traders contend that the present stage mirrors a usual post-halving re-accumulation phase, which has been observed in the past, albeit briefly. Consequently, they attribute this year’s subpar price action to factors beyond just the Bitcoin halving event. The complexities surrounding Bitcoin’s sluggish performance this year necessitate careful analysis, and we hope for a swift resolution.
Price Predictions for the End of the Year
Previous analysis has shown us that Bitcoin and other cryptocurrencies might be influenced by macroeconomic factors and the tech sector more significantly than initially expected. This makes it difficult to accurately predict specific prices. Yet, it’s worth noting an intriguing pattern in relation to the two previous halvings.
Between August and December in the year 2020, Bitcoin’s price experienced a significant increase of approximately 270%. This surge came following the May halving. Looking ahead to the year 2024, if Bitcoin rises by about 70% during the same period, it could potentially reach $100K by the end of that year.
Many price analysts think it’s important for Bitcoin to stay within the $63,000 to $65,000 range. The behavior of the market within this range could shape the direction for the rest of the year. Keeping the price above or below this level is a significant sign of potential market growth. This price level represents the initial investment point for short-term holders and those considering ETF investments.
Absolutely, the current inflation rate and global economic downturn could potentially delay our strategies even more. However, it’s anticipated that prices will start falling from September onwards. If stocks perform strongly by year-end, though, it might signal an end to the consolidation phase and a bullish market rally could become prominent.
Conclusion: What Can We Expect?
The cost of Bitcoins, Ethereum, and the cryptocurrency market overall is on an upward trend. Although it might seem otherwise at present, the crypto sphere can experience rapid changes. Many experts remain hopeful that a bullish surge could still occur, and such events have occurred recently, as was the case in 2020.
Much depends on the global economic climate. We’ve faced challenging times for quite some time now, but keep in mind that just before sunrise, the darkness is at its deepest. When the morning comes, we might witness an impressive surge in cryptocurrencies.
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2024-09-13 15:03