Bitcoin had recently risen to over $80,000, a strong rebound for months, but then fell around $78,000. Despite the slowdown in short-term growth, many Wall Street agencies have kept up the expectations of comparing their performance during the course of the year, with target prices generally in excess of $100,000.
Agency target prices moved up
Bernstein expects that bitcoin will rise to $125,000 by the end of this year. Based on current prices, this means that there is still about 60 percent of the top space. The agency also gave longer-term projections that Bitcoin was expected to reach $150,000 in 2027, to $300,000 in 2029 and to reach $1 million in 2033.
The judgement of Standard Chartered Bank is relatively conservative, but it also maintains a plethora of positions. The Bank expects that Bitcoin will reach $100,000 by the end of the year and may again test the high points previously estimated at $126,000. Pantera Capital gives a longer-term high-level projection at a target price of $740,000.
- Bernstein: end-of-year target $125,000
- Standard Chartered Bank: end-of-year target $100,000
- Pantera Capital: long-term target $740,000
Recent rebounds are related to policy statements.
The article mentions that the latest round of increases in Bitcoin occurred in part after Trump attended the White House encryption campaign. At the event, Trump indicated that the United States could purchase large quantities of bitcoin and other encrypted assets. This expression has raised the expectations of some investors about the policy environment and contributed to the recovery of market sentiment.
In encrypted markets, policy signals tend to rapidly influence risk preferences. Especially after months of price consolidation, any positive statement from the United States Government level could be interpreted by the market as a new catalyst.
Liquidity remains a subsequent variable
In addition to the policy stance, the expansion of the United States Treasury's debt buy-back was seen as one of the reasons for recent improvements in market liquidity. When more liquidity enters the financial system, part of the money may flow to volatile markets, including encrypted assets.
However, this support does not necessarily last. According to the article, the United States Department of the Treasury still needs to replenish its cash accounts in follow-up, which may remove market liquidity. Bitcoin may also be under phase-down pressure once the financial environment tightens.
Overall, the agency ' s judgement of the TTco-year trend is moving towards greater optimism, but whether or not the price is on the line of $100,000 depends on the continuation of policy expectations and whether the liquidity environment continues to support the growth of risk assets.