Bitcoin’s BTC/USD winning streak of eight weeks may be coming to a pause. However, analysts foresee a robust 2024 for the cryptocurrency king, with the Woo Network predicting a surge to $75,000 by early 2024.
What Happened: The Bitcoin surge has slowed down in the past week, falling 3.4%. After scaling the $44,200 mark, Bitcoin is now trading at $42,241, and experts believe there could be a further blip.
According to analytics firm IntoTheBlock, Bitcoin recorded net inflows of $860 million in the past week, which is the highest weekly inflow since March this year.
While the slowdown could mean some traders are booking profits, experts believe the dip is likely a temporary setback, predicting a strong 2024 for Bitcoin.
Anthony Rousseau, head of brokerage solutions at TradeStation, and Craig Erlam, senior market analyst at OANDA, expressed similar sentiments in an interaction with CoinDesk. They both believe that the current trading pattern is normal and that a strong 2024 could be in the cards for Bitcoin.
Analysts at the Woo Network predict that Bitcoin could reach $75,000 in ‘early 2024.' Amongst the factors contributing to this are an increase in demand due to the highly anticipated Bitcoin spot exchange-traded fund (ETF) and the halving event.
Why It Matters: The cryptocurrency sector has been retracting since the start of this month after a significant rally that caused Bitcoin to surge almost 71% between Sept. 12 and Dec. 5.
However, Markus Thielen, Matrixport Head of Research, stated in his Market Overview report that Bitcoin prices are likely to witness an increase even without a spot Bitcoin ETF approval by the U.S Securities and Exchange Commission (SEC).
The cryptocurrency market also experienced a modest increase, primarily driven by the US Federal Reserve's indication of possible interest rate reductions in the coming year and the positive sentiment surrounding the Bitcoin ETF.
All in all, the confluence of Bitcoin ETF, halving event, and expectations of the US Fed announcing a rate cut are brewing the "perfect storm" for the cryptocurrency king in 2024.
Read Next: Bitcoin, Ethereum, Dogecoin Santa Rallies Make A Pit Stop: A Look At The Cryptos Into The Weekend
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
Image Via Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
