Cryptocurrency fans are holding out hope that Bitcoin’s price will rise to more than $100,000 this year. The United States Securities and Exchange Commission (SEC) took a big step toward allowing the first-ever exchange-traded fund (ETF) to target spot bitcoin in the US. This makes people more optimistic. Some cryptocurrency investors are positive about the future of the most well-known cryptocurrency in the world in 2024 because the Securities and Exchange Commission (SEC) has approved eleven different goods.

Fans of Bitcoin think that the effects will eventually show, even though the price of Bitcoin did not change significantly right after the SEC approved the ETF in the media. There has been a big step forward because the exchange-traded fund (ETF) has been approved. This means that more buyers will be able to access and invest in the cryptocurrency.

Although the Securities and Exchange Commission (SEC) approved changes to rules for the creation of exchange-traded funds (ETFs), they made it clear that this does not mean they are ready to accept listing requirements for crypto financial assets. The regulatory body’s cautious stance had a big effect on how the market responded. As a result, the price of Bitcoin, which was selling at $46,118 per unit on Friday, fell by 0.4%.

Bitcoin, on the other hand, had a short rise that took it above $49,000, which was the highest point seen since December 2021. Bitcoin supporters are still holding out hope that exchange-traded funds (ETFs) and other technological advances in the cryptocurrency field will lead to big price increases for Bitcoin in the long term. The digital asset has a bright future ahead of it, as shown by the fact that a wide range of investors are likely to start investing in it.

How does an exchange-traded fund (ETF) work?

ETFs make it possible for more individual investors to indirectly hold bitcoin using a share that is traded on a stock exchange. There is a growing number of institutions, including BlackRock and Fidelity, that are offering these products, and investors anticipate that acceptance of the token will continue to become more widespread.

Over the previous year, Anthony Scaramucci, the founder of SkyBridge Capital, has stated that he has been elevating his exposure to various cryptocurrencies, including Bitcoin, Ethereum, Solana, and others.

According to Scaramucci, 2023 was the best year for his crypto funds. He plans to buy a Bitcoin ETF shortly.

At the CfC conference in St. Moritz, Scaramucci told Arjun Kharpal of CNBC, “I think this is a really big breakthrough for Bitcoin as a digital asset. It’s a much bigger story for digital property in general.”

“I believe that bitcoin’s highest level ever is going to be achieved by the end of the year.”

Renowned investor Anthony Scaramucci predicts that Bitcoin’s price could reach $100,000 within the next year. Expressing his belief in this potential surge, he draws a parallel to the approval of Bitcoin ETFs with the 2004 approval of the first spot gold ETF. Scaramucci acknowledges his past inaccuracies in predictions but emphasizes the transformative impact of ETF approval on gold’s value over time.

Drawing a comparison between Bitcoin and gold, he sees Bitcoin as “digital gold” with the potential to capture 50% to 60% of gold’s market capitalization, implying a tenfold price increase over the next decade. Despite previous comparisons, Bitcoin’s correlation with stocks, especially the Nasdaq, rather than gold, has been evident in recent years. Notably, Bitcoin outperformed the Nasdaq, various risk assets, and gold in 2023, driven by speculation about the Federal Reserve’s potential adjustment in interest rates.

Vijay Ayyar, the vice president of international for CoinDCX, notes that ETF approvals have already been factored into market expectations for some time. The discussion around Bitcoin’s future value continues to captivate investors and crypto enthusiasts alike.

2023 was a turning point for bitcoin

The cryptocurrency market has been in a downward spiral ever since the bankruptcy of FTX, a cryptocurrency exchange that was once worth 32 billion dollars, in 2022. If bitcoin were to reach those values, it would be a significant turning point for the sector. Sam Bankman-Fried, the creator of FTX, was convicted guilty of all seven criminal offences that were brought against him by federal prosecutors in the United States in the previous year.

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Digital currencies’ values dropped a lot in 2022 because of rising prices of goods and services and higher interest rates. The fall of FTX made people in the crypto industry even less trusting because it showed that one of the big players had used customer money to make risky trades in other crypto assets and swaps.

The value of the crypto market dropped by more than $2 trillion because buyers were scared and pulled their money out of digital tokens. In 2023, though, the story changed. Bitcoin’s value more than doubled, a huge 152% rise over the year. The prices of other digital tokens, like Ether, XRP, Solana, and ADA, also went up a lot.

When Scaramucci thought about these two different years, he said, “2022 was the worst year for us, but 2023 was the best year for us.” It has been both good and bad. Also, Changpeng Zhao, the CEO of Binance, admitted to the crimes he was accused of and quit his job as part of a $4.3 billion deal with the Department of Justice in 2023. Many crypto buyers see this as a chance to move on and fix problems that happened in the past.

Investors are confident, and they suggest the start of another bull run. They think that gains could happen in 2024 because a bitcoin ETF will be approved and bitcoin will be “halved.” Every four years, this event happens, and the benefits for miners are cut in half. This keeps the number of bitcoins in circulation at 21 million. In the past, splitting has happened before the price of bitcoin went up.

Tim Draper, the founder of Draper Associates, thinks that the price of bitcoin could hit $250,000 by July because of the halving and other factors. Draper says that the excitement about the halving event and the fact that more popular investors are buying in are two things that are pushing the price to a new all-time high.

CoinShares’ strategy head predicts Bitcoin will reach six digits by 2024

Tim Draper, a venture capitalist, thinks that Bitcoin is now being supported by several factors, one of which is the halving of the cryptocurrency, which has led to an increase in the use of a decentralized and globally trusted currency that stores value. According to Draper’s forecast, women will play a significant part in driving the adoption of Bitcoin between the years 2024 and beyond. This is because women understand the significance of retaining some Bitcoin if there is a potential run on dollars.

It is important to point out that Draper, who made his first investment in Bitcoin in 2014, has had a mixed track record of success when it comes to predicting the price movements of the token. Bitcoin did not meet his estimated aim of $250,000 by June 2023, which led him to prolong the deadline. Despite his optimism, Bitcoin did not reach its first target.

Throughout his investment career, Draper has placed profitable wagers on businesses such as Tesla, Baidu, and Skype. On the other hand, he was also a supporter of Theranos, a controversial blood-testing firm that was on the verge of going bankrupt due to allegations of fraud. Draper continued to show his support for Theranos, despite many setbacks, and he expressed his incredulity in the critiques that were thrown at the company’s founder, Elizabeth Holmes.

Although Draper continues to maintain a bullish stance on Bitcoin, this feeling is shared by other investors. Tom Lee, a managing partner at Fundstrat Global Advisors, forecasts that the price of Bitcoin might reach $150,000 over the next year and could perhaps reach $500,000 within the following five years. In addition, MeltemDemirors, chief strategy officer of CoinShares, thinks that Bitcoin might break the $100,000 mark by the end of the year. He bases his prediction on several variables, including the possibility of another Bitcoin exchange-traded fund being approved and an approaching “halving” event.

The ongoing discussions and speculations that surround Bitcoin’s future trajectory are brought to light by the many opinions that are held within the investment community.