Key Insights
Bitcoin has been massively bullish this year in particular.
The cryptocurrency is enjoying massive institutional interest and positive sentiment like never before.
It is currently attempting to break above $93,000, and predictions abound over a possible $100,000 price by year-end.
Analysts are generally divided between a $58,000 and $100,000 price target.
Bitcoin’s performance before the end of the year remains to be seen.
Bitcoin has been on a massive price spike in the final quarter of 2024.
Data from Coinglass shows that the cryptocurrency's Q4 returns are now around 45%, even with more than one month left to go.
Bitcoin’s quarterly returns
Source: Coinglass
According to data from CoinMarketCap and TradingView, this price increase comes amid Bitcoin's attempt to break above the $92,000 price level.
The above also means that the $100,000 mark may not be as far away as it used to be.
What is driving the ongoing momentum, and what are the odds that we will hit this six-figure price before the end of the year?
Let’s find out.
Bitcoin’s Massive Rise in 2024
The cryptocurrency market has experienced impressive growth this year despite its harsh Q2 and W3 performance.
Bitcoin has now reached an all-time high of around $93,495 on Coinbase, and several factors contributed to its latest surge.
Bitcoin has been on a bullish roll so far
Source: CoinMarketCap
Some of these include favorable macroeconomic conditions in and out of the US and stronger institutional interest.
Since Bitcoin was created in 2009, the cryptocurrency has been through some extreme price cycles.
And among these, 2024 could become one of its most transformative years yet.
One of the major factors backing this strong performance has been the fact that major players like BlackRock have been doubling down on cryptocurrency.
Especially through the ETF market.
According to Soso Value, the ETF market has seen a total inflow of up to $2.7 billion from both retail and institutional investors.
Cumulative inflows in the spot ETF market
Source: Soso Value
Former President Donald Trump's electoral win in the US also significantly influenced this price performance, with Bitcoin's dominance now sitting at a high of around 60%, according to CoinMarketCap.
Many analysts now believe that the crypto environment in the US is becoming more favorable and that the cryptocurrency is set to explode further upwards.
Expert Price Predictions—Bullish Takes
As Bitcoin hovers between $90,000 and $93,000, analysts remain divided:
Will the $100,000 mark be a piece of cake, or will Bitcoin face challenges from market volatility?
One of the most bullish analysts is Pav Hundal from SwyftX, who predicted that Bitcoin could reach $103,000 this year.
Experts weigh in
Source: Twitter
Hundal applied the Fibonacci extension tool to arrive at this conclusion and believes that the rise in institutional inflows could be a major supporting factor.
Another (unsurprisingly) bullish prediction is from Michael Saylor, the founder of MicroStrategy.
Planing a $100k party
Source: Twitter
Saylor even said, "I'm planning a $100,000 party" in a CNBC interview, showing his strong belief that the $100,000 mark will happen soon.
Lennix Lai from OKX believes that the crypto market is undergoing a paradigm shift.
Like most of the others, Lai believes that the increasing institutional demand could be a major factor in driving the price of the cryptocurrency upwards.
There Are A Few Warnings
Kris Marszalek from Crypto.com, on the other hand, warns that Bitcoin’s leverage ratios are unsustainable.
Manage risk carefully
Source: Twitter
He urged investors to manage risk carefully and believes that "leverage cleanups" are necessary before BTC shoots up to $100k.
Ki Young Ju from CryptoQuant said the same thing but with an even more severe warning.
Warnings from Ki Young Ju
Source: Twitter
Young Ju believes that a massive pullback is incoming. In a recent tweet, he mentioned that investors should keep their sights on a conservative price target of $58,974.
Like Marszalek, Ki Young Ju warned investors about the volatility risks associated with Bitcoin's high open interest across exchanges.
Why Bitcoin Could Shoot Upwards
One of the biggest factors holding the Bitcoin ETF market up is BlackRock.
The asset manager has attracted massive capital inflows from institutional and non-institutional investors.
This development has both buoyed the cryptocurrency’s price and has encouraged other institutions to jump on the bandwagon.
The incoming $11.8 billion options expiry on 27 December could also add to Bitcoin’s volatility.
Massive options expiry on 27 December
Source: Laevitas
Analysts expect the bulls and bears to battle strongly until the end of the year.
Ultimately, most mainstream predictions range from $88,000 to over $90,000.
As a refresher, Bitcoin’s latest halving event happened earlier this year.
This reduced coin issuance rate, combined with increased demand and institutional interest, has created one of the best environments for Bitcoin to thrive.
In fact, historical data suggests that post-halving cycles often lead to massive Bitcoin price spikes.
All of the above has reinforced the optimism for a $100,000 Bitcoin.
However, while #Bitcoin enjoys overwhelmingly positive sentiment, many risks remain.
Some of these include market volatility, regulatory uncertainty, and high leverage ratios.
Investors must understand that while the positive outlook exists, all of the above could still create roadblocks.
As the year unfolds with slightly more than a month remaining, the crypto community will be watching closely to see how much Bitcoin can achieve.
