The situation has improved, with Bitcoin establishing a minimum at $56,500, according to Standard Chartered, reports The Block.
The institution’s experts revised their previous forecast, which anticipated a decline to the $50,000–52,000 range.
Experts confirmed a target of $150,000 by the end of the year and $200,000 by the end of 2025.
The changes were prompted by a less hawkish decision from the Fed than expected and positive signals in the US employment report.
Such macroeconomic factors were significant enough to trigger an inflow of $595 million into US ETFs, analysts noted. They also recalled an inflow of $246 million into similar products in Hong Kong.
According to experts, in the medium term, the appeal of the leading cryptocurrency is supported by the unstable trajectory of the US federal budget deficit and national debt. As a result, higher values of the US Treasuries curve and higher maturity premiums can be expected. The risk of debt monetization by the Fed will increase.
“We believe that such a scenario will generally favor digital assets as investors seek alternatives. […] Bitcoin will become a good hedge against dedollarization and declining confidence in Treasury instruments,” the review states.
Standard Chartered identified a potential victory for Donald Trump in the upcoming November US presidential elections as a “positive factor.” If the forecast materializes, one can expect a liberalization of the regulatory environment, specialists added.
Market participants in Bitcoin options have placed bets on a rise to $100,000.
Earlier, trader and analyst Rekt Capital stated that the first cryptocurrency’s rate reached a local bottom at $57,000 and entered an accumulation phase.
Former BitMEX CEO Arthur Hayes suggested that the digital gold’s price could surpass $60,000 and move towards $70,000 by August.