Although Bitcoin recently surpassed $100,000, investors in Russia are doubtful that the cryptocurrency will reach $200,000 anytime soon.
Bitcoin (BTC) surpassing $100,000 has created excitement, but Russian investors do not think Bitcoin will reach $200,000 this cycle, according to analysts surveyed by Russia’s state news agency TASS. They predict Bitcoin could go as high as $160,000, but they don’t see it doubling its current price anytime soon.
As for the reason behind Bitcoin’s recent growth, analysts point to macroeconomic changes such as interest rate cuts by the Federal Reserve after a long tightening phase, as well as rising global liquidity and inflation concerns that are driving investors into scarce assets like Bitcoin.
Institutional adoption is also a key factor, with companies like MicroStrategy and BlackRock rapidly increasing their Bitcoin holdings. In early December, MicroStrategy doubled down on its crypto strategy, purchasing 15,400 BTC for $1.5 billion at an average purchase price of $95,976 per coin. With the latest acquisition, MicroStrategy’s crypto holdings have reached approximately 402,100 BTC, which is now worth approximately $40 billion.
At the same time, Bitcoin options and exchange-traded funds are gaining more traction, with total net assets of the latter approaching $113 billion, according to SoSoValue data.
Despite this enthusiasm, analysts remain cautious about Bitcoin’s long-term outlook. Some see two possible scenarios: a “conservative target” of $130,000 and a more optimistic ceiling of $160,000 by mid-summer 2025. However, they agree that a $200,000 level, if reached, is unlikely to occur in the current cycle.
Bank of America strategist Michael Hartnett also previously pointed to the S&P 500’s notable 27% gain this year, signaling potential overheating in financial markets; This looks like his best performance since 2019. Hartnett predicts an “overshoot” for Bitcoin and stocks in early 2025, as the index approaches its dot com-era peak valuation.
Meanwhile, Bitcoin’s rise continues and there are reports that top tech giants are considering adding Bitcoin to their balance sheets. As crypto.news previously reported, the National Center for Public Policy Research, an independent conservative think tank based in Washington DC, recommended that Amazon consider adding Bitcoin to its strategic reserve.
The proposal aims to use the company’s $88 billion in cash and cash equivalents, which includes U.S. government, corporate and foreign securities, to include Bitcoin in its reserve by the next annual meeting in April 2025. A few weeks ago, MicroStrategy founder Michael Saylor also proposed a Bitcoin reserve for Microsoft, although a final decision has not been made yet.