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Analysts at Macro Hive are warning of potential “grey swan” events that could impact the crypto industry in 2024. Dalvir Mandara and Bilal Hafeez, who advise hedge funds at research firm Macro Hive, are closely monitoring potential unforeseen events that could shake up the market.
One key consideration is the potential departure of SEC Chair Gary Gensler and the impact this could have on the market. Gensler’s cautious stance and stringent regulatory oversight of cryptocurrencies has significantly influenced the SEC’s policies in this sector. However, a change in leadership could signal a shift towards a more cryptocurrency-friendly regulatory environment, potentially boosting the industry.
In addition to regulatory changes, the analysts are also closely watching the prospect of Bitcoin reaching a new all-time high in 2024. They note that Bitcoin has already been the stealth winner of 2023, with a 150% increase in value and record low volatility. Factors such as a potential Bitcoin halving event and increased institutional adoption are also contributing to positive momentum for Bitcoin.
Historically, Bitcoin’s price has shown a tendency to rise following halving events, which reduces the supply of new Bitcoins and creates a supply shock. This time around, the halving event expected in April 2024 coincides with markets currently pricing the first Federal Reserve cut in March 2024.
In conclusion, the analysts at Macro Hive believe that increased regulatory clarity, growing institutional adoption, and the upcoming Bitcoin halving event, combined with the possibility of Fed cuts, could create a potential perfect storm for Bitcoin in 2024. If events unfold as described, they predict that Bitcoin could see significant gains, potentially surpassing its all-time high of $67,734.
As always, it’s important to note that these are forecasts and do not constitute financial advice. The crypto industry is known for its volatility and the potential for unforeseen events, so it’s important for investors to do their own research and consider all factors before making investment decisions.
