Global financial giant Standard Chartered has predicted that Bitcoin (BTC) could reach a price of $200,000 by the end of 2025 following Bitcoin ETF approval. The bank’s prediction hinges on whether or not the US SEC (Securities and Exchange Commission) approves a spot BTC ETF (Exchange Traded Fund).
According to Standard Chartered head of digital assets Geoff Kendrick and precious metals analyst Suki Cooper, ‘If ETF-related inflows materialize as we expect, we think an end-2025 level closer to USD 200,000 is possible.‘
Moreover, according to the bank, US-listed spot BTC ETFs will hold between 437,000 and 1.32 million Bitcoin by the end of this year. The bank estimates inflows of around $50-100 billion.
Also Read: Bitcoin ETF Analyst Ups Approval Odds to 95% Amid S-1 Amendments.
Reaching $200,000 from current levels would translate to a 4.3X growth or a rise of about 327%.
However, the analysts highlight that gold ETPs (Exchange Traded Products) took seven to eight years to witness a 4.3X growth. The analysts stated, ‘We expect Bitcoin to enjoy price gains of a similar magnitude as a result of US spot ETF approval, but we see these gains materializing over a shorter (one- to two-year) period, given our view that the BTC ETF market will develop more quickly.‘
When will the SEC approve a spot Bitcoin ETF?
According to Bloomberg, there is a 95% chance that the SEC will approve one or more spot BTC ETFs. Furthermore, many analysts predict that the SEC could announce its approval decision as early as this week.
CNBC analysts have said that a spot BTC ETF may see the light of day by Wednesday, Jan. 10, 2023.
Also Read: CNBC Expects Spot Bitcoin ETF Approvals Wednesday
If a spot Bitcoin (BTC) ETF is approved, we may see a surge in BTC’s price. Moreover, the crypto market may enter a 2021-like bull run following the approval.