Matrixport’s Bitcoin year-end price prediction, likely to hit $45,000 | CoinDesk JAPAN

Predicting the price of Bitcoin (BTC) has historically been as accurate as looking into a crystal ball, and some price predictions in the past have been wildly off the mark.

However, crypto service provider Matrixport appears to have been a success this year. The year-end price forecast of $45,000 announced by the company on February 1st is very likely to come true, and it looks like it could at least earn points as a near pin award.

Bitcoin nearly reached $44,000 in the early morning hours of December 8, Asian time, and if current trends hold, it will break above $45,000 by the end of the month.

“Bitcoin’s rise in 2023 began with a response to inflation trends, a response to the banking crisis, a spike in prices due to BlackRock’s ETF application, a boost from the Federal Reserve’s policy change, and It unfolded in five phases, ending with the evolution of SEC regulations regarding Bitcoin ETFs,” Markus Thielen, head of research, wrote in the latest report.

“Bitcoin does not move randomly. A mix of crowd psychology and macro factors are important drivers. Considering liquidity and market structure can help understand short-term movements,” Thielen said. Says.

Bitcoin, the world’s largest crypto asset, is up 164% year-to-date, while Ethereum (ETH) is up 99%.

“In 2022, a cryptocurrency lending and borrowing platform went bankrupt, and in March 2023, a bank with strong ties to crypto assets was disbanded,” Thielen wrote. “This is why this year’s crypto rally has been focused on Bitcoin, rather than the high-beta altcoins that retail investors tend to favor.”

Now, the question is how will Bitcoin react to an approved ETF?

Polymarket’s prediction market says there is a 77% chance of approval by January 15th.

｜Translation: CoinDesk JAPAN
｜Edited by: Toshihiko Inoue
｜Image: Shutterstock
｜Original text: Matrixport’s $45K End of Year Target for Bitcoin Looks to Be Accurate