Matrixport stands firm on $45K Bitcoin year-end prediction

Cryptocurrency trading firm Matrixport, co-founded by Bitmain's Wu Jihan, is maintaining its bold prediction that Bitcoin (BTC) will reach $45,000 by the end of 2023.

Reiterating their forecast

Matrixport first set its target price for BTC in 2023 at $45,000 earlier this year. The firm has recently reaffirmed this prediction in an October 24 blog post titled "Bitcoin Targets $45,000 — FOMO Is Hitting the Market," providing a brief analysis of their previous market forecasts.

Proven success

In the blog post, Matrixport highlights their accurate prediction of significant market events, specifically referencing their September 2023 report titled "October Ignites a Bitcoin Boom: Institutions Fueling the Price Surge." This report successfully predicted the recent action seen in the Bitcoin market.

October's strength

Matrixport noted that October historically has been the strongest month for Bitcoin, with average returns of 20%. The firm predicted that October would see increased Bitcoin activity due to excitement around potential approvals of a spot BTC exchange-traded fund (ETF).

Rapid growth in October

Bitcoin's price has surged in October, briefly reaching $35,000 on October 24 and hitting 17-month highs. This has sparked fear of missing out (FOMO) among investors. At the time of writing, Bitcoin is trading at $34,396, up 27% from its price on October 1, according to CoinGecko.

Confidence in the prediction

Matrixport believes that Bitcoin's breakout above July's $31,500 level demonstrates that reaching $45,000 by year-end is feasible. The firm backs its prediction, stating that it is based on a proven investment process that has been highly successful this year.

Contrasting views

While Matrixport remains optimistic, some analysts have expressed less confidence in Bitcoin's price for 2023. In December 2022, Standard Chartered's global research head and chief strategist predicted that Bitcoin could drop as low as $5,000 next year. However, Bitcoin's lowest value in 2023 so far has been around $16,600.