Geoff Kendrick from Standard Chartered forecasts Bitcoin could hit $120,000 in Q2 2023, reaffirming a year-end target of $200,000. Factors include U.S. asset reallocations, rising institutional demand, and geopolitical uncertainties bolstering Bitcoin’s status. Current trading trends indicate a strong shift toward non-sovereign assets as traditional markets face volatility.
Bitcoin, the leading cryptocurrency, could potentially reach a staggering $120,000 by the end of the second quarter. This insight comes from Geoffrey Kendrick, head of Digital Assets Research at Standard Chartered, who remains confident about his more extensive year-end prediction of $200,000. Kendrick pointed out that current market dynamics, including geopolitical issues and inflation, are boosting Bitcoin’s status as a non-sovereign investment choice.
In a recent note to Benzinga, Kendrick explained that an ongoing strategic shift from U.S. assets, paired with robust institutional interest, is likely to drive Bitcoin’s price upwards in the next few weeks. He emphasized that, “we expect these supportive factors to push BTC to a fresh all-time high around USD 120,000 in Q2.”
Several indicators support Kendrick’s bullish outlook. He noted that U.S. Treasury term premiums are at a decade-high, showing a strong demand for assets beyond the dollar. Additionally, significant Bitcoin accumulation by large holders—often referred to as ‘whales’—has been noted. Recent ETF inflows are also signalling a migration of capital from gold to Bitcoin, providing further momentum.
Moreover, Kendrick analysed time-of-day trading patterns. His findings suggest that U.S.-based investors might be offloading traditional domestic assets to invest in alternatives like Bitcoin. Presently, Bitcoin trading is around $95,000, marking a roughly sevenfold increase since the cycle’s lows in November 2022.
Standard Chartered’s confidence in their price target remains firm, with Kendrick stating that the next quarter might shine a clearer light on the $200,000 goal by year-end. “Timing the upswing is tricky, but we think it is imminent,” he observed, indicating a historical pattern where Bitcoin often rallies before entering longer phases of price stability.
This bright forecast emerges during a period marked by heightened volatility in U.S. financial markets, driven by inflation concerns, trade tensions, and geopolitical instability, which are all pushing investors towards non-traditional assets.
