The forecast of Bitcoin’s price by Bitwise at $80,000 in 2024

Matt Hougan, Chief Investment Officer (CIO) of Bitwise, recently made a bold prediction: the price of Bitcoin could reach $80,000 by the end of 2024. 

The key factors according to the CIO of Bitwise for the bold Bitcoin price prediction

According to Hougan, three key factors could push the value of Bitcoin towards new highs. Among these, the upcoming presidential elections in the United States, the impact of altcoins, and a set of favorable market conditions for cryptocurrencies. In this article, we will explore in detail the reasons behind this forecast and what they could mean for investors in the world of cryptocurrencies.

1. Elezioni statunitensi: un grande catalizzatore per le criptovalute

The first factor indicated by Hougan concerns the presidential elections in the United States, scheduled for 2024. According to the CIO of Bitwise, the outcome of these elections could have a significant impact on the cryptocurrency market, particularly on Bitcoin.

US politics has a direct influence on global financial markets, and this also applies to the cryptocurrency sector. During elections, topics such as the regulation of criptovalute, taxation, and monetary policy will be at the center of the debate.

A potential favorable approach to cryptocurrencies by the next president or Congress could strengthen investor confidence in Bitcoin, stimulating demand.

Furthermore, the debate on the role of the digital dollar and central bank digital currencies (CBDC) in the United States could make the cryptocurrency market more visible to the public, attracting new investors towards Bitcoin. 

The elections create uncertainty, but for digital assets, like Bitcoin, they could represent a growth opportunity, especially if they are perceived as a safe alternative compared to traditional currencies.

2. The growth of altcoins and their impact on Bitcoin

The second key factor identified by Matt Hougan is the growing relevance of altcoin. Altcoin, that is, all cryptocurrencies alternative to Bitcoin, are gaining ground and innovating in sectors such as decentralized finance (DeFi), NFT and smart contract platforms.

This expansion could indirectly contribute to the growth of Bitcoin, strengthening the general perception of cryptocurrencies as a legitimate and expanding asset class.

Altcoins, while being competitors of Bitcoin, also play a complementary role in the cryptocurrency market. When projects based on altcoins thrive, they attract the attention of investors to the entire cryptocurrency sector, including Bitcoin, which remains the “safe haven” for many traders and investors. 

An increase in the demand for altcoins could therefore create a drag effect on Bitcoin, pushing it towards new highs.

Another important point concerns the fusion between different blockchain technologies. The interoperability between Bitcoin networks and those of altcoins could make Bitcoin more usable in sectors like DeFi, thus increasing its adoption and market value. 

This trend, if it continues to grow, could be one of the driving factors to reach the threshold of $80,000.

3. Feasible market conditions for Bitcoin

Finally, Hougan indicated that the third key factor for reaching new highs by Bitcoin by the end of 2024 will be represented by the bull market conditions favorable for cryptocurrencies. 

This includes a series of economic and financial elements that could strengthen the Bitcoin market in the bull and bear term.

One of these factors is the growing institutional interest in Bitcoin. Several large financial players, such as hedge funds, asset management companies, and even central banks, are beginning to include Bitcoin in their portfolios. 

This increase in institutional demand not only brings greater liquidity to the market, but also confers additional legitimacy to Bitcoin as a store of value.

Another important element is the possible launch of ETF su Bitcoin in the United States. An ETF (Exchange-Traded Fund) would make it easier for traditional investors to buy and hold Bitcoin through regulated markets, significantly increasing demand. 

Already in 2021, the news of Bitcoin futures ETFs had pushed the price of the cryptocurrency towards all-time highs. A spot Bitcoin-based ETF could have an even more significant impact.

Bitwise: is the prediction of Bitcoin’s price at $80,000 a realistic possibility?

The forecast by Matt Hougan of Bitwise regarding Bitcoin at $80,000 by the end of 2024 is based on a combination of political, economic, and technological factors. 

The upcoming US elections, the growth of altcoins, and favorable market conditions for Bitcoin are all elements that could push the cryptocurrency towards new highs.

For investors, these factors represent an opportunity to monitor closely. Political uncertainty and the expansion of blockchain technologies could create a perfect context for the growth of Bitcoin. 

However, as always happens in the cryptocurrency markets, there are significant risks associated with high volatility. Reaching $80,000 could be an ambitious goal, but not impossible, considering the macroeconomic framework and the current trends of the sector.