Bitcoin Set to Reach $120K by Q2, Says Standard Chartered Amid U.S. Asset Shift
Bitcoin is poised to reach a new all-time high of $120,000 in the second quarter of 2025, driven by a strategic shift away from U.S. assets, according to Geoff Kendrick of Standard Chartered. This price surge could set the stage for a record-breaking year, with a target of $200,000 by the end of 2025.
Bitcoin’s Imminent Price Surge: The Key Drivers Behind the Forecast
As bitcoin continues to soar, Standard Chartered predicts that the world’s largest cryptocurrency will reach $120,000 by the end of the second quarter. This forecast comes amid a notable shift in global investment strategies, where investors are pulling funds from U.S. assets and diversifying into alternatives like bitcoin.
Kendrick’s optimism stems from multiple market indicators and a growing interest in bitcoin as a safe-haven asset, particularly in uncertain financial climates.
Strategic Reallocation Away from U.S. Assets Sparks Bitcoin’s Surge
The key factor behind this potential surge is a strategic reallocation of capital away from U.S. assets. According to Kendrick, investors are increasingly looking for non-U.S. assets, which is driving demand for bitcoin. As U.S. Treasury term premiums reach a 12-year high, the correlation between these premiums and bitcoin prices has become more evident.
Additionally, bitcoin accumulation by large investors, or “whales,” is on the rise. Kendrick highlights that this trend could lead to a higher demand for bitcoin, pushing its price to new heights.
Whale Activity and ETF Flows: Signals of a Strong Market
Kendrick points out that whale activity—large-scale purchases by institutional investors—has significantly increased, which often signals upcoming price rallies. The behavior of bitcoin’s time-of-day analysis further suggests that U.S.-based investors are actively seeking to diversify their holdings, likely contributing to the price increase.
Moreover, recent ETF flows indicate a shift of funds from gold into bitcoin, with many seeing bitcoin as a more effective hedge against financial risks than traditional assets like gold. This shift suggests that bitcoin is increasingly being viewed as a more attractive store of value, especially as global financial uncertainties continue to rise.
Bitcoin as a Safe-Haven Asset: Moving Beyond Gold
Kendrick also notes that bitcoin may be emerging as a better hedge against financial system risks than gold. With its decentralized nature and rising institutional interest, bitcoin is increasingly seen as a safer bet during times of financial instability, further driving its price growth.
Bitcoin’s Bullish Outlook: What to Expect in 2025
Looking ahead, Kendrick remains confident that bitcoin will not only hit $120,000 in Q2 2025, but could reach as high as $200,000 by the end of the year. As investor sentiment continues to shift towards bitcoin as a store of value and hedge against risk, the cryptocurrency market is likely to experience continued growth throughout the year.
With bitcoin on track for its best performance yet, investors are closely watching these key indicators as they look to capitalize on the upcoming surge.
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