The prominent cryptocurrency, Bitcoin (BTC), recently set a new milestone by surpassing $126,000 for the first time since August. This surge was influenced by the onset of October and the effects of the US government shutdown.
Nevertheless, this upward trend was fleeting as BTC’s value fell to $121,000 later in the evening.
Despite this fluctuation, optimism remains high for Bitcoin as it has rebounded to $122,000 today. The British financial powerhouse CF Benchmarks anticipates that BTC could climb to $148,500 before year’s end.
According to DLNews’ latest insights from CF Benchmarks—a leading crypto benchmark index provider—the digital currency market is on track for a mature and bullish phase due to enhanced regulatory clarity and favorable conditions brought about by interest rate reductions.
The analysts at CF Benchmarks believe that with its increasing maturity, Bitcoin might see an additional 20% increase in value reaching up to $148,500 by year-end.
This projected growth is attributed to several factors such as Bitcoin’s status as a safeguard against macroeconomic instability and fiat currency depreciation.
The firm also identified other potential drivers of BTC’s ascent including positive regulatory changes under a possible second Trump administration along with clearer regulations and greater institutional involvement in cryptocurrencies.
Moreover, analysts pointed out that recent actions like the Federal Reserve’s first rate cut in nine months have fostered a more conducive environment for riskier assets like cryptocurrencies.
The report further highlighted expectations that spot ETFs would double their numbers reaching 80 while stablecoins’ circulation could expand up to $500 billion soon enough.
Additionally noted was an anticipation regarding tokenized real-world assets (RWA) market potentially more than doubling from its current valuation around $40 billion within twelve months—with Solana-based xStocks spearheading early adoption efforts.*This does not constitute investment advice.*