Bitcoin Bull Market Incoming? Bernstein Predicts $200,000 by End of 2025

June 16, 2024 · Crypto News, TGbot · Source:NewCoinSpot

Renowned brokerage firm Bernstein has expressed optimism about Bitcoin’s future trajectory, setting a long-term price target of $200,000 by the end of 2025.

Despite Bitcoin’s recent struggles to reclaim its all-time high of $73,000, Bernstein analysts remain confident. In their latest report, they have revised their long-term Bitcoin (BTC) price forecast from $150,000 to $200,000. They attribute this upward revision to the anticipated growth in approved and regulated spot Bitcoin ETFs. Major asset management companies like BlackRock, Franklin Templeton, and Fidelity are expected to witness significant capital inflows.

Bernstein estimates that by 2025, these regulated investment tools might collectively hold around $190 billion in assets, up from the current level of approximately $60 billion. The analysts believe that the launch of these funds will be a pivotal event in bringing traditional institutional capital into the crypto market.

They also predict that by the end of 2025, spot Bitcoin ETFs could account for about 7% of Bitcoin’s total circulation.

The report highlights that Bitcoin has entered a new bull market cycle, driven by the recent halving event. Additionally, new catalysts are expected to emerge, fueling demand for Bitcoin.

After reaching the cycle peak of $200,000 in 2025, Bernstein suggests that BTC could hit $1 million by 2033, with ETFs tracking cryptocurrencies comprising nearly 15% of the total supply that year.

Bernstein also commented on MicroStrategy’s Bitcoin strategy. This year, Bitcoin has seen substantial institutional inflows. As one of the largest institutional holders, MicroStrategy has actively accumulated Bitcoin over the past four years, successfully transforming the software company into a significant cryptocurrency holder.

Founded by Michael Saylor, MicroStrategy currently holds 1.1% of the global Bitcoin supply. Interestingly, the company announced plans to offer $500 million in convertible senior notes due in 2023, with the proceeds intended to increase its Bitcoin holdings and for other corporate purposes.

If MicroStrategy continues its BTC accumulation over the next few years, Bernstein predicts that by the end of 2025, the company’s holdings could grow to account for 1.5% of Bitcoin’s total circulation.