Leading market analyst and founder of Crypto Capital Venture, Dan Gambardello, is optimistic about how high the price of Bitcoin (BTC) can go, predicting that the coin could surpass $200,0000 in the coming bull market.
Bitcoin (BTC) price and macroeconomic implications
According to Gambardello, the price of Bitcoin (BTC) could reach as high as $204,000, triggering a market valuation of up to $4 trillion. Currently, BTC is trading at $34,463.72 after losing 1.21% of its price, marking a visible correction after a week-long rally.
Although Gambardello is more interested in the impact of the Bitcoin price surge on altcoins like Cardano (ADA), the macroeconomic events surrounding the key asset are interesting.
It is worth noting that BTC recently rose to $35,000 and tried to form support at this price level, especially after the recently concluded FOMC meeting. At this meeting, Federal Reserve Chairman Jerome Powell reiterated the central bank’s plan to reduce inflation. In fact, the Federal Reserve decided to leave interest rates unchanged between 5.25% and 5.5%.
The announcement triggered a surge in the price of the aforementioned leading digital asset, but bearish action forced a sell-off. Beyond the FOMC statement, several other factors may have contributed to Bitcoin’s price rise and its potential to reach unprecedented levels.
Possible triggers for Bitcoin growth
There has been a lot of excitement in the crypto industry in recent months over the preliminary approval of a Bitcoin ETF by the Securities and Exchange Commission (SEC). Several top industry players have shown confidence in the fact that the US regulator will greenlight spot BTC ETF applications from investment giants including BlackRock, Fidelity, WisdomTree, Invesco and Bitwise, among others.
While some experts have taken into account the recent sequence of events and concluded that the approval will not come until next year, others, such as Valkyrie CIO Steven McClurg, remain with an optimistic forecast and state that the approval will happen could come before the year ends.
Crypto data analytics platform Kaiko noted that the Bitcoin spot ETF discussion contributed to this to the current price rally. If approved, the product is expected to attract institutional investors, most of whom will charge a premium for injecting money into regulated products. Currently, some trading firms are already discussing taking on a market-making role in BlackRock’s offering, evidence of growing demand from mainstream investors.
There is also speculation about the upcoming Bitcoin halving Event and its possible impact on the asset. The halving will reduce the rate of BTC issuance and advance the coin’s deflationary nature, which, when aligned with demand, can lead to additional price growth.
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