Standard Chartered Reaffirms $150,000 Bitcoin Target By Year-End

Jeff Kendrick, head of digital asset research at Standard Chartered, recently said that despite the current market volatility and geopolitical tensions, the bank’s ambitious Bitcoin price of $150,000 by the end of this year He reiterated his goals.Overall interview In an interview with BNN Bloomberg, Kendrick emphasized that ETF inflows and the upcoming halving event are playing a key role in the rise in Bitcoin prices.

Why Bitcoin will rise to $150,000 by the end of the year

One of the key factors Kendrick identified is significant capital inflows into Bitcoin ETFs in the United States. Since these ETFs were launched in early 2024, they have seen approximately $12 billion in net inflows. Kendrick emphasized the importance of these trends, saying, “ETF inflows into the U.S. are largely driving supply and demand metrics in 2024 so far.” This is a huge deal given the track record of ETFs. ”

He pointed out similarities between Bitcoin’s current trends and gold’s historical performance following the introduction of gold ETFs. Kendrick detailed the potential size of this trend, predicting that “we expect to see $50 billion to $100 billion in inflows from the beginning of this year until the U.S. ETF market matures.”

In addition to ETF inflows, the Bitcoin halving event was identified as another key factor. This event is set to reduce the reward for mining new blocks, thereby halving the proportion of new Bitcoins entering circulation and reducing daily production from 900 BTC to 450 BTC.

Kendrick said the latest halving may be “not as important as it used to be,” but he still thinks it’s important for short-term supply dynamics. He said: […], it helps on the margin since there are only half new coins. ”

In response to a question about market skepticism, particularly criticism from figures such as JPMorgan CEO Jamie Dimon, who has described Bitcoin as a “pyramid scheme,” Kendrick defended Bitcoin’s underlying technology. He said, “There are a lot of people out there who don’t understand the basic methodology behind Bitcoin. And that’s exactly what blockchain technology is, and that’s where the medium-term value lies.”

Looking further ahead

Kendrick went on to explain the transformative potential of blockchain technology across a variety of industries, not just financial services. This is the largest asset at the moment, accounting for more than 50% of the cryptocurrency market, but this opens up Ethereum and other use cases that, frankly, will be in the next 5-10 years. , many use cases become easily visible. Traditional finance proceeds in a chain. ”

Additionally, he cited recent market volatility, noting that Bitcoin experienced a significant drop just before the halving, resulting in the liquidation of $260 million in leveraged positions in Bitcoin. Standard Chartered executives interpreted this as a market correction that could set the stage for healthier growth post-halving, saying: Specifically, $260 million in Bitcoin leveraged positions were liquidated last Saturday. So from a leverage perspective, the market now looks more straight forward for the halving. ”

Summarizing his views on Bitcoin’s future trajectory, Kendrick predicted that both the maturation of the ETF market and ongoing technological advances will result in Bitcoin’s price not only recovering, but rising significantly. , expressed a confident outlook. His vision for Bitcoin by the end of 2025 goes even further than this year’s goal, predicting a potential value of $200,000 per coin.

At the time of writing, BTC was trading at $66,556.

Bitcoin price regains 200-EMA, 4-hour chart | Source: BTCUSD on TradingView.com

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