Bitcoin (BTC) has hit new highs in recent days, with many users of crypto betting site Kalshi predicting that the largest cryptocurrency on the market could hit the $100,000 mark before the end of 2024.

According to recent data from the event contract market, 60% of users believe Bitcoin will reach this milestone before January, while 45% bet that it could reach this level as early as November.

Analyst Predicts Bitcoin Price Will Hit 6 Figures By Year End

Kalshi, launching in 2021, allows users to bet on a variety of outcomes, including the release of economic data and election results.

The platform has garnered significant attention this year due to its legal battle with the Commodity Futures Trading Commission (CFTC), which ultimately resulted in US users being allowed to participate in the presidential election betting market.

Bitcoin has gained more than 28% since the US presidential election on November 5. The election results were seen as bullish for cryptocurrencies, especially as President-elect Donald Trump expressed his support for the industry and hinted at more favorable regulations.

Analyst Mike Colonnese from HC Wainwright commented on the current market situation as follows: The strong positive sentiment is likely to continue throughout 2024 and we see Bitcoin price potentially reaching six figures by the end of this year.

The analyst also noted that Bitcoin is currently in a “price discovery” phase after surpassing its all-time high last Wednesday morning, following the official announcement of Trump’s election victory.

He believes that the combination of market enthusiasm and regulatory optimism could help BTC continue its growth momentum, attract new investors, and solidify its position in the financial market by the end of 2024.

UBS Warns of Historic Volatility

Although betting markets and investors have set a target of BTC reaching $100,000, Wall Street analysts still warn about the "speculative" nature of cryptocurrencies.

Solita Marcelli, chief investment officer for the Americas at UBS Global Wealth Management, emphasized this point in a note to clients on Tuesday.

“We continue to view crypto assets as a speculative trade rather than a strategic investment in a portfolio,” she stated. Marcelli expressed skepticism about the potential for digital assets to significantly penetrate disruptive real-world applications, noting that they tend to increase portfolio volatility.

UBS notes that since 2014, Bitcoin has experienced three major price drops exceeding 70%, with an average recovery time of three years.

On the brighter side, other cryptocurrencies saw gains on Wednesday. Ethereum (ETH), Solana (SOL), and even Dogecoin (DOGE) all rose.

Dogecoin spiked significantly after Trump announced that Tesla CEO Elon Musk and former Republican presidential candidate Vivek Ramaswamy would head the newly created “Department of Government Efficiency,” cleverly abbreviated as DOGE.

Crypto-related stocks, however, have not followed Bitcoin's bullish trend. Stocks like Coinbase (COIN) and Robinhood (HOOD) have taken a breather from their recent rallies, with Coinbase shares falling about 2% on Wednesday, while Robinhood remained relatively flat.