Blockstream boss, Adam Back, thinks Bitcoin might reach $100,000 by 2024. He has two reasons for this idea: the likely approval of Bitcoin exchange-traded funds (ETFs) and a special event called mining reward halving.
In a recent chat, Back said Bitcoin’s current value is lower than what usually happens during similar times. Over the past few years, Bitcoin’s price dropped because of things like COVID-19, printing too much money, and problems with energy prices.
Looking to 2024, Back is hopeful. He thinks many of the problems making Bitcoin’s price drop are getting better. He points to Bitcoin’s price going up since November 2023 as a good sign.
Back still believes Bitcoin will hit $100,000. He talks about a simple idea called “stock-to-flow.” It says smart investors usually buy Bitcoin before a special event and sell it when prices go up afterward.
Some experts, like Eric Balchunas and James Seyffart, think Bitcoin ETFs will likely get approval in early 2024. Michael Novogratz also thinks big investors will put a lot of money into Bitcoin stuff. Back agrees, saying Bitcoin might hit $100,000 even before the ETF approval and the mining reward halving.
One reason for this hope is that big money managers, like BlackRock and Fidelity, might start investing in Bitcoin once some rules change. Right now, these managers can’t invest directly in things like Bitcoin.
In short, Adam Back is pretty sure about his $100,000 Bitcoin idea. He thinks good signs in the market, the stock-to-flow idea, and the chance for big investors to join in could make it happen.