Standard Chartered Bank has set forth bold new predictions for Bitcoin, forecasting its price to soar to $150,000 by the end of 2024, up from its earlier projection of $100,000. According to the bank's emailed investment note on Monday, Bitcoin will reach $250,000 by 2025 before stabilizing around $200,000. 

In its analysis, the bank draws parallels between Bitcoin and gold, particularly after the United States introduced gold exchange-traded funds (ETFs). Based on the correlation between ETF inflows and Bitcoin's price, Standard Chartered highlights the impact of spot Bitcoin ETFs introduced in January. 

The sustained influx into these newly launched ETFs, coupled with Bitcoin's positive price momentum, forms the bedrock of the bank's bullish outlook.

Bitcoin spot ETF already recorded $12.15 billion in net inflows as of March 15.

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Spot ETF Inflows: Fueling Momentum

Spot Bitcoin ETF inflows are outpacing the growth of Bitcoin derivatives' open interest, indicating a shift in market dynamics. Standard Chartered analysts assert that while open interest metrics approach levels witnessed in 2021, overall market positioning appears more sustainable this time around. 

The majority of these inflows are expected to originate from enduring sources, such as pension funds, contributing to Bitcoin's price resilience.

As Standard Chartered forecasts, the price of bitcoin could outperform expectations if spot bitcoin ETF inflows reach $75 billion and/or if forex reserve managers start purchasing the digital currency.

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Ether ETF Approval

In a related development, Standard Chartered anticipates the approval of an ether (ETH) ETF by the Securities and Exchange Commission (SEC) on May 23. This approval could pave the way for substantial inflows into Ethereum, potentially propelling its price to around $8,000 by the end of 2024, as per the bank's estimates.