BTC struggled to stage a sustained recovery since the August 5 pullback, constrained by uncertainty surrounding macroeconomic factors, the Federal Reserve’s policy trajectory, and the upcoming US presidential election. With this in mind, several cryptocurrency experts shared their views on the BTC price forecast in 2024, outlining the key catalysts that could influence the crypto asset in the final months of the year.
Summary of Bitcoin's recent performance
Since breaking through the $70,000 threshold earlier this year, the Bitcoin price has largely remained range-bound in the following months.
The volatile performance of the world’s largest cryptocurrency has been driven primarily by mixed economic data, unexpected developments related to the upcoming presidential election and several more crypto-centric factors, such as repayments to creditors of Mt. Gox, a defunct cryptocurrency exchange.
Bitcoin price suffered a sharp pullback in early August after a surprisingly weak July jobs report triggered recession fears, dampening investor sentiment toward risk assets. Stocks also fell noticeably at the time.
The downturn marked a substantial shift for the cryptocurrency sector, which had recently been buoyed by optimism surrounding the approval of exchange-traded funds (ETFs) tied to the spot prices of bitcoin and .
Sentiment was also boosted by Republican presidential candidate Donald Trump's pro-cryptocurrency speech at a Bitcoin conference last month.
Bitcoin fell to its lowest level in nearly six months, while Ether plummeted to its lowest point since January.
Although its price recovered remarkably, the leading cryptocurrency struggled to make significant bullish moves since the pullback. The sharp drop pushed Bitcoin price below the crucial support level marked by the 50-day simple moving average (SMA). Although there have been multiple efforts to reclaim this level, none have managed to trigger a sustained uptrend.
On August 15, Bitcoin managed to climb back up to the $59,000 mark, boosted by expectations of the first interest rate cuts by the US Federal Reserve in September. Lower rates are favorable for cryptocurrencies and other risk assets because they reduce the cost of borrowing, encourage investment, and generally weaken the dollar, which can lead investors to seek higher returns in alternative assets such as cryptocurrencies.
However, despite repeated attempts to push the price above $60,000, strong resistance has consistently halted gains.
Cryptocurrency experts share BTC price predictions
In light of recent events, here is what cryptocurrency experts have to say regarding the BTC price forecast.
“We can expect innovative versions of Bitcoin, such as sBTC, cbBTC, and zBTC, to play a major role in taking Bitcoin to the next phase of its evolution. This could very well be the trigger that drives holders to increase their BTC positions to generate yield, especially on high-yield chains like ,” said Justin Wang, Founder and CEO of Zeus Network.
“As we approach the end of 2024, Bitcoin is likely to experience range-bound price action, influenced by these macroeconomic and regulatory developments. While a new all-time high above $73,000 could be possible, this would be dependent on a number of positively perceived events, such as progress towards the Federal Reserve’s 2% inflation target, renewed investor interest, and favorable stablecoin legislation,” commented Kristian Haralampiev, Head of Structured Products at Nexo.
“The price of Bitcoin follows fundamentals more than anything else and these tell us that the price is going to rise continuously. Volatility coupled with fundamental growth in value is mostly noise and therefore distracts retail and private investors from their losses.
“Despite the fear, uncertainty and doubt you hear in the media, it doesn't matter if it's the ETF picks or any other fear-of-missing theory that may emerge – it's all just a narrative to keep the mind occupied. The real value is in the long-term position of this unique asset as a hedge and store of value,” Stefan Godly, co-founder of Venture Studio, told Investing.com.
