Benzinga - Digital asset financial services provider Matrixport predicts an explosive January 2024 for the world's premier cryptocurrency Bitcoin (CRYPTO: BTC), with prices potentially soaring above $50,000 fueled by the highly anticipated U.S. regulatory approval of spot Bitcoin ETFs.
The report hinges on the expectation that the U.S. Securities and Exchange Commission (SEC). will finally give the green light to Bitcoin Spot ETFs in the new year.
This long-awaited regulatory development, according to Matrixport, will unleash a wave of investor enthusiasm, driving prices past the $50,000 mark by the end of January.
Historical Echo: To support their bullish prognosis, Matrixport draws parallels to past events that triggered significant Bitcoin price increases.
They highlight the launch of Bitcoin futures by the CME Group in 2017, which witnessed a staggering 196% price surge in the six to seven weeks leading up to the event.
Holiday Hangover or High Season? While initially anticipating a consolidation period for Bitcoin through December, Matrixport now sees a potential breakout before the year ends.
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They acknowledge the typical December trend of a gradual 3% increase between Christmas and New Year but point to three historical instances (2011, 2013, and 2020) where prices surged, even reaching a remarkable 22% gain in one instance.
Marketing Blitz: Adding fuel to the fire, Matrixport observes the ongoing roll-out of television commercials by various ETF applicants, eager to establish themselves as the dominant player in the space.
This pre-emptive marketing campaign, expected to intensify around Christmas, is seen as another factor that could push Bitcoin prices higher during the holiday season.
Cautious Optimism: Bitcoin has "a high chance of breaking higher during Christmas, and we firmly expect Bitcoin to reach $50,000 if Bitcoin Spot ETFs are approved by then," it stated.
We firmly expect Bitcoin to reach $50,000 if Bitcoin Spot ETFs are approved by January."
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