The Chief Investment Officer of Bitwise has made bold predictions for the Bitcoin price this year. He emphasized that a ""massive supply-demand dynamic"" could lead Bitcoin to surpass the $200,000 mark, as demand outpaces supply.
Matt Hougan, CIO of Bitwise Asset Management, shared this assessment in an interview with CNBC. Bitwise's Bitcoin ETF (BITB) is among the 11 spot Bitcoin exchange-traded funds (ETFs) approved by the U.S. Securities and Exchange Commission (SEC) in early January.
He stressed the significant demand for the Bitwise Bitcoin ETF and similar ETFs, noting that a variety of investors, including retailers, hedge funds, and registered investment advisors, have entered these products.
Hougan even expects further demand growth, especially from large financial advisory firms, in the coming months. He sees this as a pivotal moment for the Bitcoin market and suggests that prices could rise significantly from here.
With the introduction of ETFs, both institutional and retail capital is flowing into the market, resulting in tremendous demand. This, combined with limited supply and the upcoming halving event in April, creates a dynamic supply-demand situation.
Hougan admitted that their previous forecast for 2024, which predicted a Bitcoin price of over $80,000, may need to be revised upward. He believes that Bitcoin could surpass the $100,000 mark and even reach $200,000 or more.
The key takeaway remains: demand far exceeds supply, and this is propelling Bitcoin prices relentlessly upward
