Bitcoin (BTC) Price Breaks $61K: Analysts Project Surge to $100,000

TLDR

• Bitcoin price rose above $61,000 on August 20, 2024
• U.S. Bitcoin ETFs saw over $61 million in net inflows
• Federal Reserve Chair Jerome Powell is scheduled to speak at Jackson Hole on Friday
• Some analysts predict Bitcoin could reach $100,000 or higher in the future
• Central bank actions and global liquidity are seen as potential drivers of Bitcoin’s price

Bitcoin’s price climbed above $61,000 on August 20, 2024, as investors showed renewed interest in cryptocurrency. This price increase comes amid positive developments in the crypto market and expectations about future central bank policies.

U.S. Bitcoin exchange-traded funds (ETFs) recorded over $61 million in net inflows on August 20. This was the second-highest inflow day for Bitcoin ETFs this month. BlackRock’s IBIT led the way with $92 million in inflows, while some other funds like Bitwise’s BITB saw outflows.

In Japan, a company called Metaplanet announced it had bought more Bitcoin. They spent about $3.4 million to buy Bitcoin, bringing their total holdings to 360.368 BTC.

Other cryptocurrencies also saw price increases. XRP and BNB both went up by over 7%. Solana’s SOL and Cardano’s ADA gained about 4% each. However, some tokens like Toncoin (TON) saw small decreases.

Traders are now looking ahead to Friday, when Federal Reserve Chair Jerome Powell is set to speak at the Jackson Hole economic symposium. Many expect Powell to hint at future interest rate cuts, which could affect both traditional financial markets and cryptocurrencies.

Some analysts think Bitcoin’s price could go much higher in the future. Jamie Coutts, an analyst at Real Vision, suggested Bitcoin could reach $100,000 before the end of 2024. He based this prediction on actions by central banks around the world, which he believes are increasing the global money supply.

The central banks are capitulating, the liquidity spigots are opening, and #Bitcoin is about to go much higher.

My composite global liquidity momentum model (MSI), has provided the first Bullish regime signal since November 2023. Recall that Bitcoin rallied 75% from Nov to… pic.twitter.com/ovF6qSHX8c

— Jamie Coutts CMT (@Jamie1Coutts) August 15, 2024

Coutts pointed out that the Bank of Japan and the People’s Bank of China have recently added a lot of money to their financial systems. He also noted that the global money supply has grown by $1.2 trillion, partly due to a weaker U.S. dollar.

Another analyst, known as “Milkybull Crypto,” made an even bolder prediction. They suggested Bitcoin’s price could go as high as $190,000 in the fourth quarter of 2024. However, it’s important to remember that price predictions can be unreliable, especially in the volatile crypto market.

The recent price increase in Bitcoin and other cryptocurrencies seems to be part of a broader trend in financial markets. Stock markets also saw gains, with some investors betting that the Federal Reserve will cut interest rates soon.

However, there are potential risks to consider. The value of the Japanese yen has been going up quickly, which could affect cryptocurrency prices. Earlier in August, a sharp increase in the yen’s value led to a decrease in crypto prices.

As of August 20, 2024, Bitcoin was trading at $61,176.1, representing a 4.5% increase.