- Bitcoin rose above $38,161 on Wednesday, its highest mark in 18 months.
- In a bullish sign for investors, market expectations have increased for Federal Reserve interest rate cuts in 2024.
- Standard Chartered predicted that bitcoin could reach $100,000 by the end of next year.
bitcoin rose 1% on Wednesday to hit $38,168, its highest level since April and May 2022, when prices collapsed amid a brutal bear market.
The world's largest cryptocurrency by market capitalization rose more than 10% in November, supported by market expectations that the Federal Reserve will begin cutting rates in 2024.
The easing of monetary policy should be more of a bullish tailwind for digital assets, as investors typically pull out of riskier investments when interest rates rise.
So far in 2023, bitcoin is up around 130% and Wall Street is optimistic that more big gains are ahead.
Standard Chartered said Tuesday that bitcoin is on track to hit $100,000 by the end of 2024, reiterating a previous forecast. Meanwhile, technical analyst katie stockton He said bitcoin could be poised for another surge in the coming weeks.
โBitcoin would resolve its upward consolidation phase with a move above $38,000, which would act as a catalyst for a resistance test of $42,200,โ Stockton told clients earlier this week.
Cryptocurrency Traders Also Expect to See the Securities and Exchange Commission approve a spot bitcoin exchange-traded fund. Institutional actors, including Fidelity and Black Rock have lined up to receive a regulatory green light, while Grayscale earlier this year won a key legal battle against the SEC.
Another bullish event on the horizon is the April 2024, halvingwhich is when the amount of bitcoin produced through mining is cut in half.
In the 12 months following the three previous halvings in 2012, 2016 and 2020, bitcoin soared 8,069%, 284% and 559%, respectively.
