Prediction #1: Bitcoin to Trade Above $80,000, Setting a New All-Time High
Bitcoin is on track to reach a new all-time high of $80,000 in 2024, according to a senior research analyst at Bitwise. Ryan Rasmussen outlined ten bullish predictions for the crypto industry in a recent post, with one of the key themes being the explosive growth of stablecoins. Bitwise predicts that stablecoins will eventually settle more volume than payments giant Visa, describing them as one of crypto's most "killer apps." By the third quarter of 2023, stablecoin trading volume had already surpassed $5 trillion, while Visa processed over $9 trillion in payments.
Prediction #4: More Money Will Settle Using Stablecoins Than Using Visa
Stablecoins have quickly become one of the crypto industry's "killer apps," growing from a near-zero market cap to $137 billion in just four years. Bitwise expects this growth to continue in 2024, with stablecoins witnessing even more trading volume and utility. Circle CEO Jeremy Allaire also shares this sentiment, predicting a surge in demand for stablecoins as investors seek the safety of internet-enabled digital dollars.
Anticipated Catalysts for Bitcoin's Price Growth
Rasmussen believes that Bitcoin will trade above $80,000 in 2024, driven by two major catalysts. The first is the expected launch of a spot Bitcoin ETF early in the year, which Bitwise predicts will be the most successful ETF launch of all time, attracting $72 billion in assets under management within the next five years. The second catalyst is the halving of new bitcoin supply around the end of April, which historically has led to significant price growth.
Ethereum and Coinbase Expected to Thrive in 2024
Bitwise also forecasts a bright future for Ethereum, with a projected 100% increase in revenue to $5 billion. The upcoming EIP-4484 upgrade could potentially lower gas costs on the Ethereum network to below $0.01. In the traditional finance sector, Coinbase is predicted to be the top contender to benefit from the bullish market in 2024, with Bitwise forecasting a 100% growth in revenue, surpassing Wall Street expectations by tenfold.
Overall, Bitwise's bullish predictions indicate a positive outlook for the crypto industry in 2024, with Bitcoin poised for a new all-time high, stablecoins gaining traction, and Ethereum and Coinbase set to thrive.
