Analysts also recommended buying miner shares

Bernstein confirms the prediction of the BTC rate growth to $150 000

12.03.2024 - 11:05

101

4 min

The material is not an investment recommendation and is published for informational purposes only.

What’s new? Analysts at the broker Bernstein have confirmed their prediction that the bitcoin exchange rate will reach $150,000 by mid-2025. They said they were even “more convinced” of the likelihood of such an outcome due to growing inflows into US spot exchange-traded funds (ETFs) based on the asset, as well as its price rising to a new all-time high of $72 800.

Material by CoinDesk

What else is known? Experts believe that the asset’s exchange rate expects another breakout after halving, and investors should buy shares of mining companies to capitalize more on the upcoming rally.

Halving is code’s embedded cut in half of the reward to miners for a mined block on the blockchain, which occurs approximately every four years. Initially, miners received 50 BTC; on November 28, 2012, the number dropped to 25 BTC, on July 9, 2016, to 12,5 BTC, and on May 11, 2020, to 6,25 BTC. In April 2024, the award will be cut to 3,125 BTC

At the same time, shares of mining companies showed a significant decline in value during the opening of trading on Monday, March 11. By the time the news was written, the daily decline in the value of CleanSpark (CLSK), Marathon Digital (MARA), and Riot Platforms (RIOT) securities amounted to 16,45%, 12,1%, and 4,62%, respectively, according to TradingView.

Bernstein advises buying bitcoin miners’ shares amid a decline in their value

Bernstein advises buying bitcoin miners’ shares amid a decline in their value

According to analysts, “any weakness in the near term represents a potential buying opportunity

Read more

Bernstein noted that the overwhelming volume of trading in bitcoin miners’ shares is accounted for by retail investors, while institutional investors prefer not to participate in this market, remaining skeptical about cryptocurrencies. However, after bitcoin hit a new high, institutional investors will still show interest in it.

The rising bitcoin price and transaction fees will allow miners to continue operating after the halving, even if it increases the cost of mining the assets.

Galaxy Digital predicts a 20% drop in the Bitcoin network hashrate after halving

Galaxy Digital predicts a 20% drop in the Bitcoin network hashrate after halving

Experts believe that miners will shut down some of their rigs after their reward is halved

Read more

In early March, analyst Ali Martinez warned about the possibility of a correction in the BTC exchange rate. He pointed out that the 30-day MVRV (the ratio of an asset’s market value to its realized value) reached the 19,57% mark. According to him, since February 2021, every time the indicator crossed the threshold of 18%, the exchange rate fell by 24-55%.

Earlier, the co-founder of Matrixport predicted the correction of the crypto market by 15% by the end of April.

Subscribe to Getblock Magazine and stay up to date with the latest news from the world of cryptocurrencies and the digital economy