Standard Chartered, a UK-based bank, has retained its ambitious forecast expecting Bitcoin's price to hit $200,000 by year-end. This perspective is founded on increased institutional investments and anticipated regulatory changes.
Factors Driving Bitcoin Growth
Analysts estimate that during the second quarter of 2023, Bitcoin ETFs and institutional investors amassed a total of 245,000 BTC worth approximately $26 billion. This trend is expected to continue as passive investments and corporate treasury engagement rise. The report highlights that aside from the mentioned strategy, other large entities purchased 56,000 BTC in this quarter, nearing the strategy’s acquisitions of 69,000 BTC.
Political Factors Influencing Bitcoin Price
Kendrick notes that the current growth cycle is more about consistent capital inflows rather than supply disruptions. Important political events like the potential election of Donald Trump as Fed Chair, bipartisan support for the GENIUS stablecoin bill and sovereign fund purchases could significantly impact Bitcoin's price trajectory.
Conclusions from Standard Chartered's Report
Key takeaways include: Bitcoin ETFs and institutions accumulated 245,000 BTC worth about $26 billion in Q2; inflows towards Bitcoin outpaced those in gold ETFs between April and June. Political events could significantly impact Bitcoin's value.
Standard Chartered's bold prediction, supported by current market and political factors, suggests that Bitcoin may enter a new phase in its history with potentially significant price surges.
