- According to a blockchain executive based on historical trends, Bitcoin continues to surpass record highs and may hit $100,000 by 2025.
- Miner rewards will be reduced from 6.25 bitcoins per block to 3,125, according to the original white paper written by Satoshi Nakamoto, creating a scarcity effect.
- Recently, speculation about the potential approval of a spot Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC) has also fueled bullish sentiment.
Will the Bitcoin price be successful in reaching the $100,000 price target by 2025? Halving event and other opinions!
Will Bitcoin Reach $100,000?
According to a blockchain executive based on historical trends, Bitcoin continues to surpass record highs and may hit $100,000 by 2025. Unchained CEO Joe Kelly stated that Bitcoin has significant potential for the token until the upcoming halving event and the next halving in April 2024.
Miner rewards will be reduced from 6.25 bitcoins per block to 3,125, according to the original white paper written by Satoshi Nakamoto, creating a scarcity effect. Each of the three previous halvings coincided with reaching new all-time highs. Kelly wrote in a note in August:
“If Bitcoin stays around $30,000 until the halving, even with a conservative 250% increase in the 12 months following the halving – which is again conservative compared to previous halvings – we will price Bitcoin at $105,000.”
The executive noted that one year after the 2012, 2016, and 2020 halvings, Bitcoin’s price increased by 8,069%, 284%, and 559%, respectively. He added that sharp rallies in the market value of the largest cryptocurrency occurred before each of the three previous halvings, with bitcoin rising by 385%, 142%, and 17%, respectively.
Meanwhile, in July, Fundstrat released a note to clients stating that Bitcoin could reach $180,000 before the next halving with momentum from a potential crypto ETF from BlackRock. Fundstrat strategists stated:
“This (Bitcoin ETF launch) brings daily demand to $125 million, while daily supply is only $25 million. It is believed that the equilibrium price needs to rise to meet daily supply and demand. Balance analysis suggests a clearing price between $140,000 and $180,000 before the April 2024 halving.”
More About Bitcoin Halving
Bitcoin’s total supply is limited to 21 million, and with each halving, the blockchain gets closer to this level. Halving occurs approximately every four years, or when miners produce 210,000 blocks, with the last one occurring on May 11, 2020. Barring unexpected surprises, the last halving event should occur in 2140.
Bitcoin recorded an increase of over 120% in 2023 and recovered from last year’s 65% decline. This recovery coincided with historic interest rate hikes by the Federal Reserve and a series of bank failures initiated by Silicon Valley Bank.
Recently, speculation about the possible approval of a spot bitcoin ETF by the U.S. Securities and Exchange Commission (SEC) has also fueled bullish sentiment. According to Kelly, a relaxation of monetary policy in 2024 could provide further support for cryptocurrencies.
Kelly said, ‘While past price activity provides good probabilities, there is no guaranteed certainty that the next bitcoin halving will indeed bring an all-time high,’ adding, ‘Mining rewards are not directly tied to market demand and other macroeconomic factors, such as the rising interest rate environment, could deter market players from buying bitcoin.’
