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Bitcoin to hit $200,000 by December? Shocking forecast from major banking powerhouse

Bitcoin to hit $200,000 by December? Shocking forecast from major banking powerhouse

Time of India2 days ago
Spot Bitcoin ETFs Drive Price Momentum
$15 Billion in ETF Inflows Could Add $63K to BTC Price
Live Events
User Growth Could Push BTC Even Higher
Macroeconomic Factors Could Dampen Momentum
Bitcoin Base Case: $135,000 by Year-End
Best-Case Scenario: BTC Hits $199,000
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Bitcoin's price has soared from around $45,000 at launch to a recent peak of about $123,000, and nowis giving investors hope for more with a bold prediction:, as per a report.According to NewsBTC, the bank has projected three scenarios for where the price might reach by year‑end 2025, which range from a low of $64,000 in a weak market to a bull case of $199,000 if everything goes right.As per Citi's analysts, several factors are driving this potential surge. One key reason is the growing influence ofs, which now account for over 40% of recent price movements, as per NewsBTC. Since Bitcoin ETFs' debut, US ETFs have bought approximately $54.66 billion worth of Bitcoin, injecting significant buying power into the market, according to NewsBTC.ALSO READ: Elon Musk's SpaceX just moved Bitcoin after 3 years, should crypto investors panic? Citi's base case scenario expects another $15 billion to flow into Bitcoin ETFs this year, as the bank's model suggests that for every $1 of ETF inflow, Bitcoin's price could increase by roughly $4, as reported by NewsBTC. This means the additional ETF demand could add about $63,000 to Bitcoin's value, according to the report.Globally, ETFs now hold around 1.48 million BTC, worth more than $170 billion, which is around 7% of the total supply, as reported by NewsBTC.User growth is also fueling optimism, as per the report. The bank anticipates a 20% increase in active Bitcoin users over the next year, which alone could support a $75,000 rise in price, as reported by NewsBTC. More users trading and holding Bitcoin tend to stabilise prices and reduce sudden drops, provided these new users remain long-term holders rather than quick traders, according to the report.ALSO READ: Is Donald Trump cheating at golf again? New viral video at Turnberry sparks heated debate on social media The bank's model also accounts for, trimming its forecast by about $3,200 due to expected weaker performances in traditional markets like equities and gold, as reported by NewsBTC. This adjustment indicated that if stock and metal markets struggle, BTC won't fully decouple from broader risk assets, as reported by NewsBTC.However, the growing regulatory approval and deeper links between crypto and traditional finance could offer some support, according to the report.For the base‑case scenario prediction, Citi added the $63,000 from ETF flows to the $75,000 from user growth, then subtracted $3,200 for macro headwinds, as reported by NewsBTC.That calculation gives the price at about $135,000 this year, which is only $12,000 above the recent peak of $123,000, according to the report. This highlights that the bank sees more upside but not a runaway rally, at least not in the base case, as per NewsBTC.As per Citi's bull case, if ETFs keep pouring in way over $15 billion and user growth exceeds 20%, Bitcoin could increase to $199,000, according to the report.However, a drop to $64,000 is possible if macro conditions sour sharply, as reported by NewsBTC.The base-case forecast is $135,000, factoring in expected ETF and user growth, as per the NewsBTC report.Macro weakness could trim Bitcoin's value by around $3,200, as per Citi's model.
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