Bitwise Asset Management is optimistic about the future of bitcoin, with a researcher at the firm suggesting that the cryptocurrency will continue to reach new highs in the coming year. The primary concern for bitcoin, according to the researcher, is regulatory risk.
Ryan Rasmussen, a researcher at Bitwise Asset Management, shared his thoughts on the future of bitcoin following the fourth halving event on the Schwab Network. He explained that after halving, there tends to be consolidation within the mining industry, as some miners struggle to adapt to the new economics of mining.
In terms of price, Rasmussen noted that the year leading up to the halving and the year following it have historically been the best performing years for bitcoin. While he acknowledged that this trend may not necessarily continue in the future, he emphasized that bitcoin has had a strong performance in recent years and expects it to continue to reach new highs in 2024 and beyond.
Rasmussen also discussed the regulatory risks associated with bitcoin. He believes that the biggest risk for bitcoin is the regulatory uncertainty surrounding the cryptocurrency. While some countries, such as the United States and Hong Kong, have shown a more favorable outlook towards crypto, there are still many regions that have a negative perspective on crypto from a regulatory standpoint.
Despite these risks, Bitwise expects governments to eventually catch up to bitcoin as its adoption continues to expand globally. However, Rasmussen still views regulatory risk as the biggest obstacle for the cryptocurrency.
In addition to regulatory risks, Rasmussen mentioned other macroeconomic factors that could impact bitcoin, such as global conflicts, inflation, and the high debt burden in the United States.
Bitwise has a bullish long-term outlook on bitcoin, with the CIO, Matt Hougan, stating last month that he believes bitcoin is in a raging bull market. He expects the bull market to continue and predicts that bitcoin could exceed $200,000 this year due to high demand and limited supply. The CEO of Bitwise, Hunter Horsley, is similarly optimistic and believes that bitcoin could reach $250,000 sooner than previously predicted.
What are your thoughts on Bitwise researcher Ryan Rasmussen’s views on bitcoin? Let us know in the comments section below.
