Bitcoin Spot ETFs Effect: Bernstein Analysts Revise BTC Target To $200,000, Here’s When
June 21 2024 - 5:30PM
NEWSBTC
Analysts at global asset management firm Bernstein have revised
their former Bitcoin target to $200,000, foreseeing the influx of
Spot Bitcoin ETFs inflows catalyzing this massive price
surge. Bernstein Analysts Raise Bitcoin Target To $200,000 In
a note to clients, Bernstein analysts, Gautam Chhugani and Mahika
Sapra predicted that Bitcoin could reach $200,000 by the end of
2025. This new price target comes after analysts foresaw BTC
hitting $150,000 earlier in May. At the time, the analysts
disclosed that they anticipated about $70 billion in inflows from
Spot Bitcoin ETFs between 2024 and 2025. Related Reading: Here’s
Why The Worldcoin (WLD) Price Surged Over 15% In One Day To Reach
$3 Presently, the analysts have solidified their predictions,
reiterating that Spot Bitcoin ETFs would be the trigger driving
Bitcoin’s price to $200,000 next year. Analysts have estimated that
Spot BTC ETFs could grow in demand to represent about 7% of the
total BTC in circulation. They disclosed their expectations
for Spot Bitcoin ETFs to grow significantly in adoption,
highlighting possibilities of approvals from major wirehouses and
large private banking platforms in Q3 and Q4. The analysts also
disclosed that almost 80% of Spot Bitcoin ETF inflows are generated
by self-directed retail investors who invest through brokerage
platforms. They believe that institutional investors’ demand
for Spot BTC ETFs is still in its early stages. However, as the
market continues evolving institutional investors’ interest could
rise, adding massively to the current inflows in Spot Bitcoin
ETFs. Bernstein analysts wrote in their notes to clients that
currently around $15 billion of net new flows have been brought in
by ETFs combined. The cumulative inflows in Spot Bitcoin ETFs
according to Farside data, have reached $14.66 billion since its
launch on January 11. Due to the high demand and massive
capital pouring into this asset class, analysts expect Spot Bitcoin
ETFs to be equivalent to 7% of BTC’s circulating supply by 2025 and
15% by 2033. They also anticipate Spot Bitcoin ETF’s total Assets
Under Management (AuM) to reach $190 billion by ‘the 25E market
peak and a whopping $3 trillion by 2033. This bullish
prediction underscores the analyst’s confidence in Spot BTC ETFs,
despite it being a newly discovered asset class. In less than six
months, the total assets under management for Spot Bitcoin ETFs
have grown to $59.19 billion, with an average expense ratio of
1.07%. This massive growth has been spearheaded by leading asset
management companies like BlackRock, Fidelity and others. BTC
Price Enters Fresh Bull Cycle In their note, Bernstein analysts
also declared that BTC has officially entered a new bull market
cycle. The analysts disclosed that this bull cycle is currently
driven by the recent Bitcoin halving event, which took place on
April 20. Related Reading: Dogecoin Enters Final Stage Of
Consolidation, Analyst Predicts 6,150% Rally To $7.5 They
anticipate the rise of new catalysts that could trigger an increase
in demand for BTC, propelling its price to new levels. In contrast,
crypto analyst, Michael van de Poppe has predicted that BTC has
likely reached its bottom between the price range of $63,000 and
$65,000. As of writing, the cryptocurrency is trading at
$63,865, reflecting a weekly decline of 4.76%. Poppe has suggested
a potential reversal on the horizon, predicting that Bitcoin could
find itself in upward momentum soon. Featured image created
with Dall.E, chart from Tradingview.com
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