- An analyst at Standard Chartered said that Bitcoin could surge to $100k.
- Another one from Bloomberg Intelligence predicted that it could hit $50k.
- If these estimates are correct, it means that other altcoins will jump too.
Bitcoin price has moved into a correction as the recent bullish momentum faded. It was trading at $27,000 on Tuesday, where it has been in the past few days. This price is about $11% below the highest point this month.
Other altcoins have been under pressure as well. Ethereum price crashed to $1,800, ~16% below its highest point this month. Similarly, Cardano, Injective Protocol, Litecoin, and Bitcoin Cash have all fallen by double-digits.
Analysts are bullish on Bitcoin prices
Despite this decline, some analysts believe that Bitcoin is still heading higher in the long term. For example, in a note on Monday, an analyst from Standard Chartered said that Bitcoin would surge by more than 200% in the next 12 months. He expects that Bitcoin will surge to $100,000 in this period. He said:
"While BTC can trade well when risky assets suffer, correlations to the Nasdaq suggest that it should trade better if risky assets improve broadly. Given these advantages, we think BTC’s share of total digital assets market cap could move into the 50-60% range in the next few months (from around 45% currently.”
He is not alone. In a report published on Monday, a Bloomberg Intelligence analyst said that Bitcoin could jump to $50,000. In the same report, Bloomberg quoted another analyst from CCData, who predicted that the coin Bitcoin price could surge to a high of $67,000. He said:
“If the collapse of FTX was indeed the bottom of this cycle, then history would suggest that we still have approximately 350 days of ‘accumulation’ before witnessing the characteristic post-halving breakout price action.”
https://www.youtube.com/watch?v=Kd1b8BaJLPs&t=3s
The bullish case for Bitcoin and altcoins
The bullish case for Bitcoin centers on several factors. First, these analysts believe that it is a good alternative as banks come on the verge. On Monday, First Republic Bank (FRC) revealed that it lost over $100 billion in deposits. There are fears that the bank could collapse soon. In the past, Bitcoin has been a good haven when banks crash.
Second, there are hopes that Bitcoin will benefit from a potential Federal Reserve pivot. Analysts believe that the Fed is nearing the end of its hiking cycle as the likelihood of a recession rises. Therefore, since Bitcoin price crashed as the Fed hiked, there are hopes that it will rise as the Fed shifts its tone,
Finally, there is a likelihood that Bitcoin price will jump ahead of halving, which is scheduled for 2024. In the past, Bitcoin tends to rise ahead of halving.
Read more: What is halving?
If these estimates are accurate, then it means that other altcoins like Ethereum, Litecoin, Injective, Chainlink, Polkadot, and Bitcoin Cash prices will rise as well. That’s because of the close correlation that exists in the crypto market.
