Bitcoin's Price Surge Linked to Tether Supply and Anticipated Positive Market Changes

By: Eva Baxter

Bitcoin Price Forecast

Recent analyses of Bitcoin's market dynamics have unveiled some interesting findings. An initial examination found a potential correlation between Tether's (USDT) circulating supply and Bitcoin's price performance. The beginning of 2023 reportedly saw the circulating supply of USDT increase from 66 billion to 91 billion by year's end. This upward trend mirrored a substantial 61% Bitcoin price rise.

In another development, Matrixport, a crypto financial services firm, projected a coming surge in Bitcoin's price. Bitcoin is expected to break the $50,000 mark by 2024, fueled by anticipated approval of Bitcoin spot ETFs by the US Securities and Exchange Commission (SEC). This event is stated to be an influential factor that could skyrocket Bitcoin's standing in the market.

Analyses Reveal Potential Price Boosters

Industry experts also point to the launch of Bitcoin futures by the CME Group and CBOE in December 2017 as a significant turning point in Bitcoin's history. The event led to an increase in Bitcoin's price, pushing it to reach $20,000 for the first time. It is believed that the potential impact of Bitcoin spot ETFs could have a similar, or even greater effect on the market.

Further, investors are increasingly leaning towards 'hard money' assets, including Bitcoin since they are less influenced by US authorities. As a result, investment management firm VanEck forecasts over $2.4 billion pouring into spot Bitcoin ETFs in the first quarter of 2024 alone. VanEck analysts also hold a firm belief in Bitcoin's market stability, predicting that its price will likely not fall below $30,000 in early 2024.