- Two leading parties in the blockchain and crypto space have predicted that Bitcoin could hit somewhere between $42,000 and $60,000 by January 2024.
- Alex Kruger believes that BTC is “preordained” to hit $42,000 by the time an ETF launches in the United States.
- Galaxy Digital calculates the total addressable market size for BTC ETFs to be $14.4 trillion in the first year after an ETF gets approved
- Yu predicts that BTC’s price will increase by as much as 6.2% in just the first month after an ETF launch.
- Both agree that a Bitcoin spot ETF could be approved by January 2024 (January 10 2024, according to Yu )
Everyone already knows that a Bitcoin ETF being approved would be a massively bullish event.
However, two leading parties in the blockchain and crypto space may have just the idea of how high BTC can go.
What’s more, these predictions even have timelines. Here’s a hint though:
BTC may be hitting somewhere between $42,000 and $60,000 very soon, between now and January 2024.
Here’s what we mean:
Why The Bears Cannot Escape A $42,000 Bitcoin
Economist and crypto trader, Alex Kruger has shared a bullish prediction for the flagship cryptocurrency.
According to a post from Kruger’s financial advisory firm Asgard Markets, Bitcoin is “preordained” to hit $42,000 by the time a BTC spot ETF launches in the United States.
According to Kruger, this ETF may be approved by January 2024 and is “quasi-guaranteed” to be approved by January 10, 2024.
Kruger says that when this ETF is approved, BTC will rally by as much as 20% in a single day.
“We also think that the day the ETF gets approved, the market should see a +20% move intraday. We see bitcoin hitting 42K by the time the ETF launches (launch, as opposed to approval)”
“Buy any dips into the $29,000s”, Kruger says, so that investors can catch this 20% move to the upside when the ETF gets approved.
The SEC has so far approved several BTC futures ETFs (as opposed to spot ETFs), which track the price of Bitcoin futures contracts rather than Bitcoin itself.
However, many argue that these products are inferior to spot Bitcoin ETFs, as they incur higher fees and tracking errors.
It remains to be seen, what wonders BTC will perform if an ETF is approved.
Bitcoin Price Could Hit $59,000 After Spot ETF Launch
Galaxy Digital is another platform with similar ideas.
According to a new blog post from the crypto investment platform, a new Bitcoin ETF being approved is set to be massive for the crypto market.
In particular, Galaxy says that BTC could soar by more than 24% from its current price if a Spot ETF hits the US.
Galaxy Digital went further to say that a spot BTC ETF may end up winning a 74% price increase for the cryptocurrency, in one year
The blog post, written by Galaxy Digital research associate Charles Yu, calculates the total addressable market size for Bitcoin ETFs.
According to Yu’s estimates, we may see a market size of $14.4 trillion in the first year after this ETF gets approved
These are based on real facts, by the way.
Yu used the historical performance of gold ETFs to make his analyses and predicted that Bitcoin’s price would increase by as much as 6.2% in just the first month after an ETF launch.
After this, we might see a gradual decline to a 3.7% monthly increase by month 12.
And before the year (or 12 months) runs out, we may be seeing Bitcoin hit $59,000 (considering an average BTC price of about $33,000).
The Clock May Start Ticking As From January 2024
On this front, Colin Yu and Alex Kruger seem to agree: A Bitcoin ETF may be here by January 2024.
So far, the SEC has not approved any Bitcoin ETFs from Grayscale, Blackrock and about half a dozen others.
For some reason, the agency continues to delay or reject these proposals, while using concerns over market manipulation, investor protection, and custody issues as excuses
However, many crypto experts have predicted that we may see a Bitcoin ETF this year, with a 75% probability, and by the end of 2024 with about 98% probability.
Colin Yu expects the SEC to approve a spot Bitcoin ETF by January 10, 2024, based on the regulator’s historical patterns.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.