Bitwise: Bitcoin Will Have 'a Great Next 12 Months'

Bitwise Asset Management expects bitcoin to have a great next 12 months. A Bitwise researcher has explained that the cryptocurrency will likely continue to test its “higher highs” this year and next. He considers regulatory risk to be the primary concern for bitcoin.

‘I Think We’re Just Getting Started’

Bitwise Asset Management has reaffirmed its bullish view on bitcoin. Ryan Rasmussen, a researcher at the asset management firm, offered his perspective on the future of bitcoin following the cryptocurrency’s fourth halving on the Schwab Network Monday.

“What’s happening to miners historically after the halving is that you see some consolidation across the industry,” he explained, noting that some miners are not “prepared to handle new economics of what mining looks like as a post-halving cycle.”

Sharing his bitcoin price outlook, he described: “From a price perspective, what we generally see is that the year going into the halving and the year following the halving is the best performance year for bitcoin over three or four-year cycle and that’s happened again and again in the past three halving.” While noting that there is no guarantee that the same will happen in the future, he stressed: “We certainly have a great year running up to this halving. We bounced back from those lows of 2022, had a great 2023, we’re off to a great start in 2024, and I do think that we’ll continue to test higher highs here in 2024 and the next year following the halving.” The Bitwise researcher continued:

I think we’re just getting started and bitcoin is going to have a great next 12 months.

Rasmussen proceeded to discuss the risks surrounding bitcoin. “I think the biggest risk still for bitcoin is the regulatory risk that exists around crypto as an industry at large,” he began. Noting that while the U.S. Securities and Exchange Commission (SEC) did approve spot bitcoin exchange-traded funds (ETFs) and Hong Kong just approved spot bitcoin and ethereum ETFs, he cautioned: “There’s still many, many areas around the world, many regions, that aren’t friendly towards crypto that have a negative outlook on crypto from a regulatory perspective.”

Bitwise expects “governments to catch up to bitcoin over time” as BTC’s adoption expands globally. However, the researcher opined:

I certainly think regulatory risk is the biggest headwind here.

Furthermore, he referenced several macroeconomic factors, such as global conflicts, inflation, and the high debt burden on the U.S.

Last month, Bitwise CIO Matt Hougan remarked: “Long-term, we believe bitcoin is in a raging bull market.” The executive also stated that the bitcoin bull market won’t end early, expecting an “everything season.” He noted that BTC could top $200K this year, citing “too much demand and not enough supply.” The CEO of Bitwise, Hunter Horsley, is similarly bullish about the future of BTC, stating in February that the cryptocurrency could hit $250K sooner than the firm previously predicted.

Do you agree with Bitwise researcher Ryan Rasmussen on bitcoin? Let us know in the comments section below. #Write2Earn