Samson Mow, the CEO of JAN3, in a recent interview with Cointelegraph, shared his bold prediction for Bitcoin’s future, envisioning a scenario where its value could skyrocket to $1 million. This dramatic increase, according to Mow, could happen rapidly, within days or weeks, following the potential approval of a spot Bitcoin ETF in the U.S. in 2024.
According to a report by Marco Castrovilli for Cointelegraph, Mow believes that the next crypto bull market will be unlike any seen before, breaking the typical four-year cycle pattern. He attributes this potential surge to a combination of supply and demand shocks, leading to a significant price shock. He argues that the approval of spot ETFs will unlock a massive influx of capital into Bitcoin, as institutional investors in the U.S., who have been eagerly waiting for such an opportunity, will start pouring billions into the cryptocurrency.
This influx, Mow explains, will collide with the limited supply of Bitcoin available on exchanges, creating a perfect storm for a dramatic price increase:
“You’re hitting a very limited supply of Bitcoin on the exchanges and available for purchase with a torrent of money. This is why you can go really high all at one time.“
He recalls Bitcoin’s history, noting its ability to appreciate 20x in about nine months during the 2016-2017 period to illustrate the cryptocurrency’s potential for rapid growth:
“The run-up in 2017 was nine months to 20X. Given that we’re going to have billions and billions pouring in all at once on ETF approvals, I think it’s going to be a much shorter time frame.“
Addressing skepticism about such a high price target, Mow acknowledges that while Bitcoin has shown diminishing returns in each cycle, the current situation is different. He points out two new factors: Bitcoin’s newfound compliance with environmental, social, and governance (ESG) standards, and the entry of new capital. These elements, he believes, change the game, providing a fresh impetus for Bitcoin’s growth.
Mow also discussed the recent trend of ordinals, or NFTs, minted on the Bitcoin blockchain. He remains unenthusiastic about this development, viewing it as a temporary trend driven by a small group of enthusiasts rather than a fundamental shift in the Bitcoin ecosystem.
Bitwise Asset Management, through their Senior Crypto Research Analyst Ryan Rasmussen, has recently shared a set of forward-looking insights for the cryptocurrency market in 2024. These insights cover a range of topics within the crypto sphere, including the projected path of Bitcoin’s value, the anticipated success of ETFs, developments in Ethereum, and the growing significance of stablecoins.
The company predicts that Bitcoin will reach new heights, potentially surpassing $80,000. This surge is expected to be fueled by two major developments: the anticipated introduction of a spot Bitcoin ETF in early 2024 and the Bitcoin supply halving expected towards the end of April.
Furthermore, Bitwise foresees the approval of spot Bitcoin ETFs, predicting that they will collectively mark the most successful ETF launch in history. These ETFs are projected to capture about 1% of the massive $7.2 trillion U.S. ETF market, which would translate to approximately $72 billion in managed assets.
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