Bitcoin (BTC) is on its way to hitting a fresh record high in 2024, before rising to as much as $150,000 in 2025, according to analysts at Bernstein.
“We are about to embark on a new crypto era, marked by unprecedented mainstream institutional adoption, driving capital from traditional markets to crypto markets. This moment is unprecedented,” analysts said in a client note.
“We are also in a favorable macro, with rates peaking, inflation declining and chances of monetary stimulus in a major election year globally. We are not brave enough to be circumspect, and we like Bitcoin and Bitcoin mining stocks way too much here.”
The analysts fully expect the world’s leading asset managers to go live with a Bitcoin ETF either this week or next. While the ‘buy the rumor, sell the news’ scenario may take place, they urge investors to focus “on multiple bullish Bitcoin catalysts (halving, transaction fees inflection, ETF marketing) through the year.”
“Don't sell the news, buy the dip. ‘Sell the news’ is like selling for a 15-20% correction, but miss out on the multi-bagger returns ahead,” the analysts added.
One of the potential catalysts for BTC prices to propel higher in 2024 and 2025 could be much bigger-than-expected demand from corporate treasuries.
“We expect Bitcoin to touch all-time highs in 2024 in the second half-post halving and may likely close the year at ~$80K (based on our marginal cost based estimate). Our estimate for 2025 remains $150K as cycle high.”
“Crypto equities will hit mainstream institutional interest in 2024, as bears continue to get squeezed (given short interest) and equity investors feel under-exposed to crypto.”
Elsewhere, the analysts also expect ETH to be the only non-BTC asset to get a spot ETF.
“[C]ombined with its growing fees, scaling roadmap and sustainable token model, [this] will position ETH as the primary blockchain tech asset,” they added.