Ripple CEO Brad Garlinghouse has predicted that the cryptocurrency market will double its market value, reaching $5 trillion by the end of 2024.
Brad's predictions are based on a few factors including the approval of 11 Bitcoin exchange-traded funds (ETFs) by the US Securities and Exchange Commission (SEC), which marked a major milestone in history. of cryptocurrencies, as well as the upcoming halving event.
He said,
Take the Mini MBA edition 14 (June 3 โ September 2, 2024) registration begins; get great discounts with early registration here.
AI Masterclass in Tekedia Companies open registrations here.
Join the Tekedia Capital union me tooInvest in the best startups in Africa here.
โI've been in this industry for a long time and have seen the trends come and go. I am very optimistic. I think macro trends, powerful things like ETFs, are driving real institutional money for the first time. You're seeing that drive demand and at the same time demand increases and supply decreases. โYou donโt have to be an economics student to know what happens when supply contracts and demand expands.โ
The SEC's decision to approve 11 Bitcoin ETFs was a historic moment, introducing a new asset class to global financial markets. This measure is expected to reduce barriers to entry for investors, simplifying access to Bitcoin investments through traditional investment channels.
Furthermore, the approval of the ETF has triggered a global domino effect, with other financial centers such as Hong Kong preparing to launch additional Bitcoin ETFs. The gradual and widespread adoption globally underscores the growing acceptance of Bitcoin and its potential to become a standard item in investment portfolios around the world.
In particular, it is poised to have a significant impact on the market value of Bitcoin. Analysts predict a significant increase in demand, with price targets ranging from $100,000 to $150,000 in the short term and a long-term potential of $500,000 in the next 3 to 5 years.
It is worth noting that financial advisors around the world are beginning to recognize Bitcoin as a viable asset class and will now recommend different allocations in investment portfolios. This change reflects a shift in the perception of Bitcoin from a speculative instrument to a legitimate investment option.
On the other hand, the upcoming Bitcoin halving event in April, where the reward for mining new blocks will be halved, is expected to further improve the scarcity of crypto assets, thus potentially increasing their value. This supply shock, combined with an upcoming wall of institutional money, contributes significantly to Bitcoin's appeal as a long-term investment.
As Bitcoin continues to move into mainstream finance, it is not only reshaping the investment landscape but also challenging traditional notions of finance and asset management. With institutional backing, low barriers to entry, and growing acceptance among the general public, Bitcoin is poised to play a pivotal role in the future of global finance.
With the cryptocurrency market currently valued at around 2.68 trillion dollarsIf the market eventually doubles by the end of the year, it would likely reach a market cap of $5.2 trillion.
