Bitcoin halving countdown started, this is what experts predict
Last Updated on 23 March 2024 by CryptoTips.eu
The Bitcoin halving countdown is on. A month ago it was calculated that it would normally happen on April 28. In the meantime, that date has already been pushed forward due to a rising price and increasing mining capacities. Some media say April 20, I have even read an April 15 forecast. Time will tell.
Of course, it also depends on what the Bitcoin price does in the coming weeks. It is more convenient for Bitcoin mining companies to be able to mine blocks at this price before the halving of course.
According to Bitcoin fans, the price of Bitcoin rises before and after the halving as that moment reminds investors that fewer and fewer Bitcoins will be available in the future. Wall Street companies, however, have a different view and take economic factors into account.
JP Morgan and Standard Chartered
Since some on Wall Street have missed the boat on issuing a Bitcoin ETF, they have no choice but to join the trend. The Wall Street saying ‘the trend is your friend’ also applies to them.
JP Morgan CEO Jamie DImon is not a fan of Bitcoin, but he is of course aware of how much money American boomers have already allocated to Bitcoin ETFs in recent months. His company (one of the largest US investment banks) therefore made a prediction about the halving in their latest analyst report.
The analysts, led by Nikolaos Panigirtzoglou, believe that the bitcoin network could experience a 20% drop in hashrate post-halving, due to inefficient mining rigs going offline. JPMorgan predicts that the production cost range could drop to $42,000.
Standard Chartered, a British investment bank, sees things differently and focuses on the Bitcoin price post-halving. This week they adjusted their year-end Bitcoin price target to a price between $100,000 and $150,000 because of the upcoming halving.
“We think the gold analogy – in terms of both ETF impact and the optimal portfolio mix – remains a good starting point for estimating the ‘correct’ BTC price level medium-term,” the Standard Chartered analyst note read.
“If ETF inflows reach our mid-point estimate of $75 billlion, and/or if reserve managers buy BTC, we see a good chance of an overshoot to the $250,000 level at some stage in 2025.”
