According to the MVRV metric, which measures the market value compared to the realized value of Bitcoin BTC 2.96% it indicates a market environment, for Bitcoin in 2024 similar to recoveries in the mid 2010s. This forecast is significant because 2024 is a halving year, which historically affects miner profitability and behavior. The report suggests that the market will be strong with potential for growth and minimal selling pressure from miners.
Additionally the report discusses how countries like El Salvador and Argentina are increasingly adopting Bitcoin as a response to instability. El Salvador is focusing on developing Bitcoin infrastructure while Argentina is moving towards assets. This indicates a global adoption trend for cryptocurrencies that is expected to accelerate in 2024.
Bitfinexs predictive analysis predicts an increase in cryptocurrency ownership potentially reaching between 850 and 950 million individuals. This surge reflects growing acceptance and integration of assets like Bitcoin into economic activities. Based on the reference point of the market conditions in 2021 it is expected that the rate of growth will exceed 3.8 4.4 percent monthly if these bullish conditions persist throughout 2024.
Furthermore other sources also indicate that Bitcoin is poised for a year in 2024 after experiencing over a 150% increase in value during 2023. This has generated excitement and anticipation, for what lies
Analysts have made predictions, about Bitcoins prices with estimates ranging from $50,000 to over $100,000. This optimistic outlook is based on expectations of a slowdown in the US monetary tightening cycle and a growing trend among investors to hold onto their investments for the term. This trend reduces the availability of Bitcoin in the market.
There are two factors expected to influence Bitcoins price. First is the approval of spot Bitcoin exchange traded funds (ETFs) by US regulators. Second is the halving event scheduled for April 2024. During this event the reward for miners will be halved as part of a programmed measure designed to maintain its scarcity value.
Forecasts for Bitcoins price in 2024 vary. Ryan Rasmussen from Bitwise Asset Management anticipates that it could reach an all time high of $80,000 and believes that spot Bitcoin ETFs could capture a portion of the US ETF market. Other predictions range from $50,000 to over $100,000 with some projecting high as $125,000 by the end of 2024. However there are also views expressed by analysts, at JP Morgan who suggest that the impact of spot Bitcoin ETFs and the halving event may already be reflected in Bitcoins current price level.