Fidelity Macro Analyst Issues Bitcoin Alert
Fidelity Investments’ global macro director Jurrien Timmer warns that two factors could limit Bitcoin’s move to the upside for a while. Timmer believes that Bitcoin’s adoption rate, coupled with high interest rates, could prevent it from surpassing the $45,000 range in 2023 and most of 2024.
Key Points:
- Bitcoin’s adoption rate and high interest rates may limit its upside potential.
- Timmer’s price prediction factors in a Bitcoin adoption rate based on the past adoption rate of the internet and a real interest rate of at least 2%.
- Based on Timmer’s chart, Bitcoin may only reach the $45,616 level by the end of next year.
- If interest rates come down, Bitcoin could see a high of $96,210 before 2024 ends.
- Based on the two factors, Bitcoin is currently overvalued and a market correction could bring its price down to $20,933.
Hot Take:
Fidelity’s Jurrien Timmer believes that Bitcoin’s upside potential may be limited due to its adoption rate and high interest rates. He predicts that Bitcoin may only reach $45,616 by the end of next year, but if interest rates decrease, it could see a high of $96,210 before 2024 ends. Timmer also suggests that Bitcoin is currently overvalued and a market correction could bring its price down to $20,933.
By
By
By
By
By