In a recent analysis by Bitget Research, the cryptocurrency exchange’s research arm led by Chief Analyst Ryan Lee, projections for Bitcoin (BTC) and Ethereum (ETH) prices for March 2024 have been outlined.
The research reveals optimistic forecasts amidst a backdrop of accelerating institutional interest and macroeconomic factors.
As of February 27, 2024, Bitcoin has shown signs of a bullish trend, breaking past its previous high to reach $57,000. This surge is accompanied by a notable increase in trading volume, with Bitcoin’s market capitalization hitting $24.75 billion and a 24-hour trading volume of $80.9 billion. The momentum is further evidenced by the trading volume of nine Bitcoin ETFs in the United States, which soared to a new high of $3.2 billion.
According to Bitget Research, this institutional bullish sentiment, combined with the anticipation of the upcoming Bitcoin halving and potential mid-year Federal Reserve rate cuts, suggests that Bitcoin could maintain support at $50,000. The report predicts possible volatility in March, with Bitcoin potentially testing historical highs. Resistance levels are identified at $60,000 and $69,000, with support expected in the $48,000 to $52,000 range.
However, the impact of Bitcoin ETFs has been underestimated by many analysts, and seen the Bitcoin price push past $72,000 on March 11th.
Ethereum’s trajectory, while initially weaker relative to Bitcoin, is also on an upward trend. The ETH/BTC exchange rate has climbed past 0.06, buoyed by Bitcoin’s over 10% increase on February 27. This growth is attributed to the positive developments surrounding Ethereum’s Cancun upgrade and the acceleration of Layer 2 and restaking projects, which are locking up ETH inventory. Bitget Research posits that Ethereum could surpass the $3,500 mark, with key support at $3,100 and a significant concentration of holdings around $2,900.
The analysis also touches on broader economic indicators, noting a decreased likelihood of a Federal Reserve rate cut in March. However, the anticipation of the first rate cut possibly occurring in May 2024, coupled with the potential approval of Ethereum’s ETF, could position ETH for a stronger performance than BTC. In an optimistic scenario, Ethereum might approach the $4,300 mark, a peak last seen in 2021, with expected fluctuations between $2,500 and $3,500.
Looking ahead, Bitget Research suggests that both Bitcoin and Ethereum could see significant growth within six months to a year and a half post-halving, potentially reaching new historical highs. The entry of mainstream financial institutions into the market is expected to bolster this growth, with Ethereum possibly surpassing the $4,900 mark in 2024.
