According to experts at the Wall Street company Bernstein, they believe that the value of Bitcoin will go up to around $70,000 by the end of the year.
According to a new report by StreetInsider, analysts Gautam Chhugani and Mahika Sapra say in a new research note that the approval of spot BTC exchange-traded funds (ETFs) will make the price of the top crypto asset go up.
“In a market where there is a limited amount of a product available, even a small increase in demand can affect the price. ” ETFs make up 3. 5% of the total supply, and over 12% of Bitcoin is still held on exchanges. However, the important thing to consider is the new demand for Bitcoin, as it is easier to predict the sell pressure.
The analysts at Bernstein also think that Bitcoin mining companies in the US could expand their operations this year, even though the upcoming halving event for Bitcoin in April will reduce the rewards for mining.
“We think 15% of expensive miners will make less Bitcoin, but cheap and competitive miners will make more (we like RIOT and CLSK). “
Chhugani and Sapra think that making Bitcoin layer-2 protocols will help the network work better.
“We think layer-2s will still help miners make money from processing transactions, and more people will keep buying and selling tokens and NFTs, which will also help the Bitcoin developer community grow. “
Also, they say that the overall economy could be good for the main digital currency this year.
“If the early election results show that there might be a new government after the elections and that the current leaders at the SEC (U. S agency for financial markets) might change, especially those who are not supportive of cryptocurrencies. ” The Securities and Exchange Commission’s decision could cause Bitcoin and other cryptocurrencies to gain value, and the rates could make the gains even higher.
Bitcoin currently has a value of $44,139.
