Standard Chartered projects Bitcoin could hit $120,000 in Q2 this year due to investors moving away from U.S. assets. This is part of a broader strategy, with a long-term target of $200,000 by 2025. The report points to high Treasury term premiums and significant accumulation by large holders as contributing factors, suggesting Bitcoin may become a preferred hedge compared to gold.
Bitcoin enthusiasts might want to pay attention because prices could soar significantly. A recent report from Standard Chartered’s Geoff Kendrick forecasts that Bitcoin (BTC) might reach an eye-popping $120,000 in the second quarter. The driving force behind this surge is expected to be a strategic shift by investors away from U.S. assets, which many are feeling shaky about lately.
Kendrick has reiterated not just the short-term target of $120,000 but also a more ambitious long-term goal of $200,000 by the end of 2025. As of the report’s release, Bitcoin was trading around $95,300, which is considerably lower than Kendrick’s expectations. He pointed out a key indicator—the U.S. Treasury term premium, which is hitting a 12-year high—this metric tends to correlate closely with Bitcoin’s price movements.
There’s also been notable accumulation from so-called ‘whales’—those who hold large quantities of Bitcoin. Another interesting point made by Kendrick is about the time-of-day analysis for Bitcoin trading, which hints that American investors are increasingly on the lookout for alternatives outside of U.S. assets. All this paints a picture that suggests a broader change in investor sentiment.
Moreover, Kendrick highlights the recent ETF flows that suggest a shift in safe-haven investments from gold to BTC. He went as far as to suggest that Bitcoin might be emerging as a more reliable hedge against risks facing the financial system when compared to gold. So, for those invested in cryptocurrency, things are looking quite promising in the medium term.
As a closing note, Grayscale also chimed in, hinting that ongoing tariffs and trade tensions could bolster Bitcoin adoption as a viable alternative in the financial landscape. With so many dynamics at play, it seems that the next few months could be pivotal for Bitcoin’s future.
