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ToggleInstitutional optimism, $100,000 within reach
Since Donald Trump was elected President of the United States on November 5, 2024, the price of Bit has soared to new highs. According to analysis by Bernstein and Standard Chartered Bank, with the strengthening of market momentum, the price of Bit could reach $200,000 by the end of next year. However, the market is more focused on whether Bit can break through $100,000 before the end of the year. According to previous reports by Zombit, the trading volume of the prediction market platform Polymarket for Bit to break through $100,000 in 2024 has exceeded $3 million, and traders believe the probability of this happening is 59%.
Michael Cahill, CEO of Douro Labs, believes that Bit reaching $100,000 is just a matter of time, and points out that the current macroeconomic environment is very favorable for digital assets. Matt Klein, investment strategist at Nascent, also believes that Bit will reach the $100,000 target by the time of Trump's inauguration at the latest.
Institutional capital begins to enter, FOMO effect not fully released
Market observers point out that this round of rebound is not driven solely by retail investors, but is supported by institutional capital. Matt Hougan, Chief Investment Officer of Bitwise, said that as more long-term holders are unwilling to sell Bit at prices below $100,000, the selling pressure in the market has decreased, providing more upside potential for Bit.
However, Chandra Duggirala, CEO of Tides.Network, believes that although the price of Bit may reach $100,000 before Thanksgiving, the true "FOMO effect" has not yet been fully released. Once Bit breaks through $100,000, more retail investors and wealth management institutions may start to enter, further driving up the price.
Policy and legal reforms support long-term growth
In addition to market momentum, policies have also provided support for Bit. A bill proposed by Wyoming Senator Cynthia Lummis aims to have the U.S. Treasury Department purchase 1 million Bit over the next five years to address the risk of dollar depreciation. In addition, Lummis has also proposed a stablecoin bill to further promote the application of cryptocurrencies.
As Trump's economic policies may weaken the dollar, and a crypto-friendly Congress takes office, BitMEX founder Arthur Hayes predicts that this policy direction will stimulate demand for scarce assets like Bit, thereby driving up its price. In this context, Bit, with its scarcity and anti-inflationary properties, may become a sought-after hedge asset for investors.
"As the circulating supply of Bit decreases, the most fiat currency in history will chase this hedge asset, not only Americans, but also investors from China, Japan and Western Europe."
Arthur Hayes believes that Bit has the potential to break through $1 million in price, and advises investors to "hold long-term".
