Standard Chartered announced on Monday that the leading cryptocurrency, bitcoin, could potentially reach a value of $100,000 by the close of 2024, signaling an end to the so-called "crypto winter."
Geoff Kendrick, the head of digital assets research at Standard Chartered, noted in a statement that several factors could contribute to bitcoin's growth. These include recent upheaval in the banking sector, the stabilization of risk assets as the U.S. Federal Reserve concludes its rate-hiking cycle, and enhanced crypto mining profitability.
Kendrick wrote, "While sources of uncertainty remain, we think the pathway to the USD 100,000 level is becoming clearer." Bitcoin has experienced a rally this year, surpassing $30,000 in April for the first time in ten months. This partial recovery follows the loss of trillions of dollars in the crypto sector in 2022 due to central banks raising interest rates and the collapse of numerous crypto companies.
During previous bitcoin rallies, predictions of high valuations have been common. In November 2020, a Citi analyst projected that bitcoin could reach as much as $318,000 by the end of 2022. However, the cryptocurrency closed last year down approximately 65% at $16,500.
