Investors in Russia expect Bitcoin to peak at $160k this cycle: report

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As a seasoned crypto investor with roots tracing back to the early days of Bitcoin, I’ve seen my fair share of market cycles and price predictions come and go. While the recent surge past $100,000 has undeniably sparked excitement, I find myself leaning towards the cautious perspective shared by Russian analysts.

Although Bitcoin has recently breached the $100,000 threshold, Russian investors are skeptical that it will reach the $200,000 milestone in the near future.

Analysts surveyed by Russia’s official news agency TASS suggest that while Bitcoin (BTC) exceeding $100,000 has generated enthusiasm, Russian investors are not anticipating it reaching $200,000 during this particular cycle. Instead, they predict that Bitcoin could potentially surge to around $160,000, but a doubling of its current price is not expected to occur in the immediate future.

The surge in Bitcoin’s value is being attributed by analysts to various economic factors, including the Fed’s reduction of interest rates following a long period of tightening, as well as increased global liquidity and worries about inflation. These circumstances have prompted investors to turn towards scarce resources such as Bitcoin.

One way to rephrase the given text in a more natural and easy-to-read manner could be: “Institutional adoption plays a significant role, as companies such as MicroStrategy and BlackRock are rapidly increasing their Bitcoin investments. For instance, MicroStrategy recently boosted its crypto strategy by purchasing 15,400 BTC for $1.5 billion, with each coin costing an average of $95,976. This latest acquisition brings MicroStrategy’s total Bitcoin holdings to around 402,100 coins, valued at almost $40 billion.

Meanwhile, Bitcoin options and investment funds listed on stock exchanges are attracting growing interest, with these funds collectively holding approximately $113 billion in assets according to SoSoValue’s data.

Although analysts are excited about Bitcoin’s future, they remain cautiously optimistic regarding its long-term prospects. They envision two plausible situations: a more reserved prediction of $130,000 and a more ambitious peak of $160,000 by the middle of summer in 2025. However, they concur that a $200,000 level may not be achieved within this current market cycle.

Bank of America strategist Michael Hartnett previously warned about a possible heating up in financial markets. He highlighted the S&P 500’s impressive 27% increase this year, which seems to be its strongest performance since 2019. With the index approaching valuations last seen during the dot-com era, Hartnett forecasts an “overshoot” for Bitcoin and stocks in early 2025.

Currently, Bitcoin’s ascent persists, and there are rumors that major tech companies might incorporate it into their financial holdings. Previously reported by crypto.news, the National Center for Public Policy Research – an independent conservative think tank in Washington D.C. – has proposed Amazon should include Bitcoin in its long-term investment portfolio.

The objective of this plan is to employ the company’s $88 billion held in cash and cash equivalents (which consist of U.S. government, corporate, and foreign bonds) towards establishing Bitcoin as part of our reserves. This move could potentially be implemented by our next annual meeting scheduled for April 2025. Notably, Michael Saylor, the founder of MicroStrategy, recently suggested a similar approach for Microsoft, although they have not yet reached a final decision on this matter.

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2024-12-09 10:41